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Utah Business 2010
 

Utah Business 2010

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Published annually by Utah Governor's Office of Economic Development (GOED)

Published annually by Utah Governor's Office of Economic Development (GOED)

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    Utah Business 2010 Utah Business 2010 Document Transcript

    • ELEVATING REGION GROWTH BY REGION Why Utah is the Opportunity Place to Build Thrives in the Your Business Beehive State EMPOWERING BUSINESS INSIDE AMERICA’S MOST DYNAMIC & INNOVATIVE ECONOMY
    • At First Utah Bank, we respect the small - especially small businesses. We know you are the true backbone of our community. And when it’s time to update your equipment, build your inventory, or improve your facilities, we want you to talk to us first. Visit us at www.Firs tUtah Bank.com/sba or give us a call at 801.478.2303. 2 Utah Governor’s office of economic Development
    • www.bUsiness.Utah.Gov 3
    • Governor’S letter Office of the Governor Salt Lake City, Utah 84114-2220 Dear Business Leader: Welcome to Business in Utah, a publication by the Governor’s Office of Economic Development designed to assist you in becoming more familiar with the business friendly environment and regions in our state. During my extensive travels around the state, I am repeatedly reminded of the many good reasons Utah is regularly praised as a great place to do business. Our preeminence is because we work to our unique strengths, we are innovative and we maintain an attitude of success. With each ranking and accolade we receive, we continue to demonstrate that Utah has the hottest business economy in the nation. These recognitions are many, and they are growing. Utah is ranked No. 1 by the American Legislative Exchange Council (ALEC) as the state with the best “Economic Outlook,” and the Pew Center has named Utah as the “Best Managed State” in the nation. No wonder numerous organizations call Utah “best for jobs” and “best for business,” rankings that reflect the work and commitment of Utah’s successful business community. Our talented citizens comprise one of the most productive workforces in the country. Companies as diverse as Disney, Edwards Lifesciences, P&G and eBay all call Utah home, and have expanded their presence even during our nation’s downturn. Utah shows signs that our dynamic economy is once again taking off in a number of business sectors, including international export, finance, lifesciences, IT and software development. Economic development in Utah will remain one of my top priorities, along with a dedication to public and higher education and development of Utah’s energy resources. Together, with our business community and our citizens, we have built a strong economic base that is a strong stabilizing force. Utah is truly a “State of Opportunity,” and we are ready to grow – today and well into the future. Sincerely, Governor Gary R. Herbert State of Utah 4 Utah Governor’s office of economic Development
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    • We’re generating more than just power. We’re generating answers. We’re all working harder to save money these days. Whether you’re a small or large business, our FinAnswer ® programs have energy-saving solutions and incentives that will help your business be more efficient. You’ll also find all the help you need in our Business Solutions Toolkit – energy calculators, expert advice and industry specific solutions. Sign up today and get the answers that will make your business more energy efficient and reduce its 2010 Rocky Mountain Power environmental footprint. To learn more, visit rockymountainpower.net/toolkit. 6 Utah Governor’s office of economic Development
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    • taBle of ContentS 14 Cover StorY resolve of a native Son Governor Gary r. herbert’s vision for Utah’s economic future Utah has been a clear leader in sound government based on long-term planning and effective management. Read how Governor Gary Herbert’s pro-business vision is fostering economic opportunity and growth. leading the economic Development Charge As executive director of the Governor’s Office of Economic Development, Spencer P. Eccles has positioned the state for responsible economic growth. Features 66 at the Crossroads 24 Growing Utah St. George, Salt Lake City and the Ogden corridor have long been Utah is well known for its desert climate, but it also has incredibly fertile known as the crossroads to the American West. Today these ground for business development and growth. Read how several local three cities are more than transportation hubs; they are desired companies are expanding with post-performance tax credit incentives. locations for new warehousing, manufacturing and distribu- tion centers. Read how major companies like Procter & Gamble, 28 Bringing it home Walmart and consumer products manufacturer Reckit Benckiser Behind Utah’s growth is a well-oiled machine that has maximized the are taking advantage of local logistics. state’s strengths to recruit some of the world’s premier companies. See how the state’s innovative targeted economic cluster approach is driving results. regions 72 Wasatch front: the heart of Utah 32 Going Green Local leaders in the Wasatch Front push forward with innovative With vast amounts of natural resources and open space, and the addition of business strategies, moving the region further along the road of the Renewable Energy Development Incentive (REDI) plan, Utah is moving success. to the forefront of states attracting renewable energy companies. Learn what they are doing to make Utah a leader in the field. 74 Mountainland: Mixing Business with Pleasure Beneath the postcard veneers of Park City resorts, Heber Valley 36 the right track meadows and Thanksgiving Point gardens, there’s a bustling Strong education systems and growing economic sectors have a connec- economic engine and exciting new developments in business. tion. Read about the initiatives and programs designed to prepare Utah’s workforce for the state’s changing economic trends. 78 Southeastern: Diamond in the rough A regional airport, highways, railroads and fiber optics networks 40 the Perfect Combination mean this area is ready for more than breathtaking views. Helping Utah’s Economic Clusters Initiative is a catalyst focusing people, ideas and local businesses grow is a major priority for this region. resources on industry sectors that have the greatest sustainable competi- tive advantage. Look into the sectors putting Utah on the map not just 80 Southwestern: not Business as Usual nationally, but globally as well. These counties have shown resilience to the economic downturn and are making several strides toward a promising future. 46 from Sparks to flames GOED’s incentives promote strong win-win partnerships and net positive 84 Bear river: nurturing Business Growth tax revenues with little risk. Learn about four different incentive programs As the Bear River sustains wildlife and new life springs up along that build on the long-term sustainable factors that attract top companies its banks, it’s almost as if the river is also sustaining many busi- to the state. nesses percolating up from within this region as well as the profit- able companies relocating to this area. 50 expanding Borders Since the state’s first international business office opened in 1982, it has 88 Central: from the Ground Up morphed into the Governor’s Office of Economic Development (GOED) Central Utah’s economically sustainable products and industries, and is continuously growing in scope and stature worldwide. Discover why including wind farms, turkey production, gas and oil mining, and the organization’s relationship-building approach is elevating Utah as an other growing businesses bring a healthy balance to the area’s international business state. natural landscape and recreational opportunities. 54 a healthy State 90 Uintah Basin: More than Meets the eye Nearly half of small business employers do not offer health coverage to Oil and natural gas industries lead the way as new and expanding their employees. The Beehive State is leading the way by putting the Utah business grow. The locals’ best-kept secret is that this region is Health Exchange in place, a program that gives small business employers the finest place around to do business. more health insurance options. 94 rankings 58 a Star in the Making UTAH’S BUSINESS LEADERS What started out as the perfect backdrop for John Wayne and John Ford Accounting Firms Westerns has grown into a robust and competitive film industry. See why Law Firms Utah’s film-ready infrastructure is unmatched. Banks Commercial Builders 62 Journeys of Discovery Top 50 Public Companies From newly discovered dinosaur fossils to an exquisite symphony perfor- Top 50 Employers mance, or from extreme mountain adventures to the rare beauty of desert canyons, read how a journey through Utah is a journey that will elevate and 98 resources refresh the spirit. ECONOMIC DEVELOPMENT AGENCIES BY COUNTY 8 Utah Governor’s office of economic Development
    • Relocating? Whether you are an individual or an organization that is considering making a move to Utah, you need professional assistance from experienced Relocation experts. Coldwell Banker Relocation Services Axiom Financial    Jonathan Cohen CRP, GMS Michelle Hodges Director of Relocation Services Relocation Mortgage Specialist 800.451.3850 877.909.LEND jonathan.cohen@utahhomes.com michelle@axiomfinancial.com ©2009 Coldwell Banker Real Estate LLC. All Rights Reserved. Coldwell Banker® OAC. Not an offer to lend. ©2009 Axiom Financial, LLC is an Equal Housing Lender providing is a registered trademark licensed to Coldwell Banker Real Estate LLC. An Equal mortgage services throughout Utah. Opportunity Company. Equal Housing Opportunity. Each Coldwell Banker Residential Brokerage Office Is Owned And Operated by NRT LLC. www.bUsiness.Utah.Gov 9
    • GoeD BoarD MeMBerS BuSiNESS utAH Publisher Tyler Dabo Ragula Bhaskar Mike Dowse Jack Brittain fatPipe networks, Inc amer Sports vP technology venture Editor Dr. Ragula Bhaskar is President Dowse is the President of Amer Sports Jack Brittain, PhD, is the U’s Sarah Ryther Francom and CEO of FatPipe Networks, the Winter & Outdoor Americas (Ogden). Tech Ventures VP Tech Ventures . inventor of patented router-clustering He previously worked for Suunto, commercializes U technologies Supervising Editor technology. Nike, and Wilson. and ranks second to MIT in Michael G. Sullivan number of spinoffs per year. Contributing Editors Linda T. Kennedy Candace M. Little Kimball Thomson Clark Caras Tracie Cayford Gary Harter Peter Mouskondis Jerry Oldroyd Stanley Ellington Leigh von der Esch President and Ceo Ballard Spahr andrews Utah Black Chamber nicholas & Company & Ingersoll of Commerce Contributing Writers Westminster College Foundation Oldroyd is a partner in the Retired administrator from the Heather Beers Board Member, IFDA Board Member, Business & Finance Department and United States Air Force. Executive Mark Dayton Independent Marketing Alliance Board Communications Group, and a Director of the Utah Black Chamber Lindsey Hannay Member, and Markon Board Member. trustee of Utah Technology Council. of Commerce and Chair of United 4 Tom Haraldsen Economic Development. Melanie Johnson Peri Kinder Heather King Alex Koritz Pamela Ostermiller Gretta Spendlove Heather Stewart Larry Warren Hilary Ingoldsby Whitesides Mel Lavitt Amy Rees Anderson James Lee Sorenson needham and Company, llC Mediconnect Sorenson Companies Designer Lavitt’s career in investment Amy is the CEO of Mediconnect James Lee Sorenson is a nationally Ryan Mansfield banking has included hundreds of Global, Inc. In 2007, Amy received recognized business leader and Don Hatchell capital market transactions the Ernst & Young Entrepreneur of entrepreneur with a proven record accounting for several billion the Year Award and she was featured ofsuccess in the varied fields of Photo Editor dollars of equity and debt financing. on the cover of Inc. magazine and technology, life science, real other national publications. estate and venture capital. Weston Wride Advertising Consultants Jessica Henning Brett McDermaid Kip Kuroski Matt Wilson Business Manager David Sampson Molonai Hola Nikos M. Linardakis Rob Adams Icon Consulting Group tharos laboratories, Inc e.D. Beaver County Cover Image Hola is President and CEO nutrilite economic Development Corp. Erik Östling of Icon Consulting Group. Linardakis is a physician executive Currently serves as the Thunderbird International Business and founder of Tharos Laboratories. Executive Director for the Published by: School graduate with a Master’s He is also Executive Producer for Beaver County Economic Olive Film Productions and author. Development Corporation. Utah Business Publishers, LLC in International Management. 859 W. So. Jordan Pkwy, Ste. 101 Rob is a licensed real estate broker with Coldwell Banker. South Jordan, UT 84095 Tel: 801-568-0114 Fax: 801-568-0812 © Copyright 2010 by Utah Business Publishers. All rights reserved. Business in Utah 2010 is published through a contractual agreement with Governor’s Office of Eco- nomic Development (GOED). Every effort has been made to ensure the accuracy of the information herein. However, Utah Business Publishers and the GOED are Mary Draper Clifford D. White not responsible for any omissions or errors that might oc- lowell Bennion Service Center Capital Consultants cur. Furthermore, advertising material is the responsibility of the individual advertisers and appearance in Business University of Utah Businessman, Investor and Financial in Utah 2010 does not necessarily reflect an endorsement of the product or service contained in the advertising by the Draper is a graduate of the University Planner. Active in Utah community publisher or GOED, nor are the publisher or the GOED re- of Utah and the J. Reuben Clark Law service for 42 years. sponsible for the contents of individual advertisements. School. She works at the University Reproduction in whole or part of any text, illustration or photography without the express written permission of of Utah. the publisher is prohibited. 10 Utah Governor’s office of economic Development
    • THIS IS WHEN HAVING NATIONALLY- RENOWNED HEALTHCARE REALLY MATTERS. At Intermountain Healthcare, we use evidence-based medicine to develop best practices. As an example, we’ve reduced the average heart attack treatment time to 67 minutes, beating the national goal by 23 minutes. This focus on best practices is not limited to heart care. We’re working to improve hundreds of clinical processes in the areas of cancer, intensive medicine, women and Healthcare newborns, pediatrics, and other specialties. Our efforts have been noticed by many publications, and political and medical leaders. That matters only because we’re striving to provide the quality care our patients need. There is much more to be done, but we are committed to our mission of providing excellent healthcare. To learn more, visit www.intermountainhealthcare.org. www.bUsiness.Utah.Gov 11
    • 12 Utah Governor’s office of economic Development
    • For businesses looking to expand or relocate in the for companies in need of a large footprint, and our western U.S., Tooele County, Utah is the strategic site. permitting process is convenient and fast. Our quality Just 35 minutes west of Salt Lake City, we’re smack of life is extraordinary with picturesque valleys, dab in the middle between the Rocky Mountains, mountains and the Great Salt Lake. We’re also home the Paci c Coast, Canada and Mexico. In addition to for the world-famous Miller Motorsports Park, and being centrally located with superb Interstate, rail Utah’s renowned ski resorts are less than an hour and airport service, Tooele County has competitive away. For businesses searching for the strategic site, land prices, utility costs, and wage rates. We also the choice is Tooele County, Utah—where industry have an educated and eager workforce that will and opportunity meet every day. take your company to the top. We have lots of land Reckitt Benkiser Bailac For more information 435.843.4792 Tooele County Economic Development 47 S. Main St., Tooele, UT 84074 www.tooeleeconomicdevelopment.com www.ExploreTooele.com Aerial view of Tooele City, Utah Industrial Depot and the Oquirrh Mountains www.bUsiness.Utah.Gov 13
    • Res olve of a Native s oN Governor Gary r. Herbert’s vision for UtaH’s economic fUtUre By KimBall Thomson | PhoTograPhy By EriK ÖsTling # 1 economic outlook Rich StateS, PooR StateS alec- laffer state economic competitiveness inDex 14 Utah Governor’s office of economic Development
    • www.bUsiness.Utah.Gov 15
    • it is clear to anyone who has seen Utah’s 17th governor in action that he has a deep and abiding rooting interest in Utah—one that extends far beyond the professional into the realm of the highly personal. Born in american fork in Utah County, Governor Gary R. Herbert grew up two towns over in orem, where he graduated from orem High school before attending BYU in neighboring Provo. after serving six years in the Utah army National Guard, Governor Herbert established two businesses—Herbert and associates Realtors and the Kids Connection childcare service—in the state. He and his wife, Jeanette, are parents of six children, all of whom they raised in the Beehive state. Herbert was elected Utah’s lieutenant Governor in 2004 on the Huntsman-Herbert ticket, and became Governor Herbert in august 2009. this native son and lifelong Utah resident views his role as Governor as that of steward in chief of america’s most dynamic economy. “Utah has established a real legacy for excellent management,” says Governor Herbert. “i am committed to keeping the state on the right course and to setting an example of what a state can and should be in terms of high-quality, responsible governance.” A Running StARt Governor Herbert is off to a strong running the state’s responsible fiscal management and start. aided by his active leadership, both as discipline. lieutenant Governor and as Governor, Utah Utah garnered the nation’s top spot in has been named Best Managed state by the Forbes magazine’s 2009 state by state Debt Pew Center for Research on the states. the Weight scorecard, based on 12 leading eco- study ranked states based on the quality of nomic factors, reinforced by the state’s aaa their management of budgets, staff, infrastruc- bond/credit ratings from Moody’s and stan- ture and information—including such factors dard & Poor’s, and its exceptionally low 2009 as recruitment and retention of qualified em- per capita debt of $447. ployees; use of information and technology; in Governor Herbert’s first year of leader- “If I were your financial management of budgets and purchasing sys- ship, the state also ranked first for economic advisor, I would tell tems; and planning for improvement of roads, outlook in the Rich states Poor states study bridges and other core infrastructure. by the aleC-laffer state Competitiveness you without hesitation, leading analysts have also identified Utah index. the study contrasted “many states ‘Buy Utah!’” as the state best positioned to achieve a safe that are ‘getting it wrong’ in terms of policy landing as the nation and world emerge from and business friendliness” to Utah, which it Utah Governor Gary r. herbert the sustained economic downturn that began described as “unique in that its leaders are in November 2007. the american legislative making some very conscientious decisions to exchange Council has ranked Utah Number 1 improve their business climate and to make it for expected economic Recovery, based on the clear they are open for business and are not go- state’s sound economic approach of minimiz- ing to tax you out of existence.” Utah climbed ing taxes, spending and regulatory burdens, from 9th to a close 2nd in the Pollina Corporate and creating an environment of economic op- “top 10 Pro-Business states for 2009: Rebuild- portunity and growth. this success rests on ing america’s economic Power.” 16 Utah Governor’s office of economic Development
    • Spencer p. eccleS goED ExEcUTivE DirEcTor Leading the Economic Development Charge By Heather Beers UTah’s hisTory is filled with innovation and vision, and perhaps no one reflects that legacy as much as the new executive director of the governor’s office of Economic Development conveRting chAllengeS (goED), spencer P. Eccles. The combination of into oppoRtunitieS his heritage and background enables him to lead Utah’s continuing drum beat of accolades for example, the challenge of teaching Utah’s economic growth in significant ways at a underscore the deftness with which its lead- and training the nation’s youngest and fast- critical time. ership has undertaken the real and pressing est-growing school age population holds the he is a member of a legendary Utah fam- challenges it faces. intrinsic opportunity of having an able and ily. marriner eccles, the son of the nineteenth- Utah’s demographic situation—with the ready workforce to fuel Utah’s many dynamic century industrialist David eccles, served as the second highest rate of population growth in entrepreneurial growth companies. the key to chairman of the federal reserve for 16 years un- the nation, accelerated by the country’s high- creating and leveraging these opportunities, der roosevelt and established the eccles name as est birth rate and the largest average house- Governor Herbert maintains, is to empower well as the state of Utah in the mind of the nation. hold size—creates a singular set of challenges the state’s private sector and create effective the eccles family founded first security bank in and opportunities for the state. collaborations between Utah’s business, gov- Utah and over the years, their name has become “We have larger families, high birth rates, ernment and education communities. synonymous with civic responsibility. a younger population, which places a tremen- spencer’s father, spencer f. eccles led first se- dous demand on education,” says Governor the thRee e’s: educAtion, eneRgy curity from 1970 until it merged with wells fargo Herbert. “this aspect of our demographics is And economic development in 2000. the family has long been committed to truly unique in the United states. to be able to the need for the economic accelerators of serving the community, elevating the arts, health, train and educate such a fast-growing popula- empowerment and collaboration is most ap- and education in the intermountain region for tion, which adds another 10,000 to 12,000 stu- parent in the three top priority areas for the decades. as the great grandson of David eccles, dents every year to the education system, with Herbert administration: education, energy and spencer p. has an enormous sense of stewardship the smallest base of taxpayers relative to our economic development. passed down through the family and has proven population of any state, is something no other himself a rising star in his own right. place in america has to face. Excellence in Education. spencer’s professional career includes work- “there is no question that this is a time of education is a high-stakes issue for Utah—one ing with wells capital management’s salt lake real and sustained economic challenges,” says that requires bold and visionary leadership. office which manages over $2 billion in assets. Governor Herbert. “No state is immune to the “the number one challenge we have right now he also worked with the olympic committee for effects of the downturn in the national and is, ‘How do we pay our way when it comes to pro- five years and led over 1,500 volunteers and staff international marketplace, but we are going viding government services that everyone wants during the 2002 olympic winter Games as the to meet our responsibilities head on and turn and needs, education in particular, and do it with competition manager of the snow basin venue. them into opportunities for us going forward.” less money?’” says Governor Herbert. he started his own venture capital company that invests in early stage companies and he currently 1 sits on four company boards. mr. eccles has also managed the family’s office encompassing sev- # moSt dynAmic economy eral of his family’s businesses including three 1 KaUffman 2008 state new economy inDex ranching operations. spencer carries on his fam- ily’s sense of responsibility, having served on nu- # hAppieSt u.S. StAte 2 merous private boards and serving as president msnbc - GallUp of the first security foundation and advising the George s. and Dolores Doré eccles foundation. # AmeRicA’S heAlthieSt StAte 3 now, spencer p. eccles has stepped away Forbes maGazine from the private sector – all because of a call from Governor Gary r. herbert. “when the governor # BeSt StAte FoR BuSineSS 5 calls, you pick up the phone,” spencer joked. “it Forbes maGazine was completely unanticipated. but, because of my love for Utah and my desire to give back # AmeRicA’S top StAteS FoR BuSineSS - 2009 1 – the request got my attention, and i felt that it cnbc was important to take the opportunity to serve as the Governor’s office of economic Development # expected economic RecoveRy (GoeD) executive director.” continued > american leGislative exchanGe coUncil www.bUsiness.Utah.Gov 17
    • to answer the imperative of optimizing cost-effective government services, Governor since spencer stepped into the GoeD office, Herbert formed the Utah advisory Commis- he has deftly applied his business acumen to the sion to optimize state Government last sep- Energizing Economic Development. governor’s vision for promoting economic devel- tember. led by Norm Bangerter, Utah’s 13th Utah’s success in funding the education of its opment, education and energy development. he Governor, the commission includes top busi- populace and fostering continued economic dy- explained his approach is all about building on the ness, education and government leaders from namism depends, in large part, on the quality and existing foundation and collaboratively working throughout the state. success of its economic development efforts. with the GoeD team to execute on the Gover- “We formed this exceptional collaborative “economic development and education— nor’s vision of economic development. working group to make sure that we are de- especially higher ed—are really joined at the livering services as effectively and efficiently hip,” says Governor Herbert. “if our companies as possible,” says Governor Herbert. “We are succeed, there will be more money to put into committed to maximizing taxpayer dollars, the education system. By the same token, if we finding savings where we can, and finding bet- improve our education system, we will have ter processes and efficiencies in the system.” stronger people coming out to develop our the group will also explore the implementa- economy.” tion of new technologies to drive efficiencies. Governor Herbert is a strong believer in the the Governor’s overall goal is to deliver private sector as the ultimate source of eco- the highest possible quality of education and nomic growth: “it is not going to come from gov- other services in the most cost-effective man- ernment – real, abiding solutions to economic ner. “i am extremely optimistic that the great growth never do.” people on this commission will find efficien- in many cases, Governor Herbert believes cies,” says Governor Herbert. “it will be hard, the proper role of government is to “get out of but we can do hard things, and excel at them.” the way” by ensuring that taxation policies are SuppoRting BuSineSS gRoWth in addition to the civic and social welfare ben- not so burdensome that they thwart the ability mr. eccles understands that sustainable econom- efits of education, Governor Herbert sees a clear, of the economy, its companies and entrepre- ic development depends on the state’s efforts to reciprocal connection between Utah’s educa- neurs to prosper and expand. improve Utah’s business friendly environment. tion system and the state’s continuing economic “i’m opposed to a tax increase right now,” he GoeD works to strengthen and grow Utah’s ex- dynamism. “education is the glue that holds so says. “it is just the wrong time to douse these isting businesses, both urban and rural. it also many essential things together,” he says. “You flickers of recovery with the wet blanket of a encourages entrepreneurship and investment. it cannot have long-term sustained economic suc- tax increase.” works to attract national and international busi- cess without an excellent education program.” in addition to the direct economic impact ness. GoeD also supports education for the long- Governor Herbert points to Utah’s flagship of a tax increase during a recession, Governor term viability of the state. research institution, the University of Utah, Herbert points out the psychological impact of mr. eccles said that Utah does this in a num- which in 2009 tied with Mit for first in the na- telling companies and entrepreneurs that the ber of ways. “we have a pro-business governor tion for the number of start-ups generated by needs of government and politicians take pre- and legislature – with a corporate income tax of technology developed at the school. the “U” – cedence over the needs of business—the pri- just 5 percent; we’ve kept our tax rates among the and Utah’s other major research universities, mary source of long-term economic growth. lowest in the nation.” Brigham Young University and Utah state Uni- Yet the Governor sees a strong affirmative he pointed to several successful corporate versity – all excel at developing technologies for role for government in the state’s economic incentive programs GoeD administers, which commercialization in areas ranging from it development—helping facilitate and provide makes expansion in Utah more attractive to and aerospace to medical devices, genetic diag- fertile soil for the entrepreneurs, who will in growing companies. based on post-performance nostics and drug delivery. turn create opportunities and grow successful rebates, GoeD incentives also further the mis- “We need to ensure that our education businesses that provide high-quality jobs. sion of having a sustainable and fiscally respon- system continues to evolve so that our stu- “in addition to being lean and mean as a state sible program in Utah. dents get the best, most relevant information government, more than ever before we have an Governor herbert is ardent about his concern available,” he says. “this will enable them to imperative to take a hands-on approach,” he for small and emerging businesses and therefore, develop the skills and technologies the mar- says. “We need to work closely with the private has ensured that his budget provides for the many ketplace demands, and to remain on the cusp sector and empower it to find solutions to the GoeD business programs of technological and economic evolution.” economic challenges we are facing.” along with the state’s supportive business ac- 10 tivities, GoeD partners with many groups around the state, such as the economic Development TOP StAteS FoR joB cReAtion 2 corporation of Utah and the Utah sports com- ihs Global insiGht mission and the Utah science technology and research (Ustar) initiative, among many other # pRo-BuSineSS StAteS FoR 2009 5 public and private organizations. there are tre- pollina corporate mendous resources for people who want to grow their business in Utah,” said eccles. # loWeSt poWeR coStS in the nAtion continued > U.s. enerGy information aDministration 18 Utah Governor’s office of economic Development
    • YOU BET WE HAVE A FIRE IN OUR BELLY FOR YOUR PROJECT. WHY DO YOU THINK WE SNACK ON ANTACIDS? And why else would we have 6:30 AM coordination meetings? And a stockpile of midnight oil? Making sure your project gets done when and how it’s supposed to be done is not a hollow mantra. It’s a given. It’s also why we have become one of the nation’s “Top 100” contractors. Your building represents the blood, sweat and tears of both you and your employees. Your contractor should have a burning desire to contribute the very same elements. We do. 800.748.4481 | www.big-d.com > Ralph Waldo Emerson www.bUsiness.Utah.Gov 19
    • Pure Energy Rush. though the Herbert administration is working when media organizations like Forbes and to foster growth in all significant Utah indus- cnbc rank Utah among the top three states in tries, the Governor has singled out energy as a which to do business, Utah’s productive work- top priority. “We have tremendous natural ad- force is usually one of the top reasons. a strong vantages when it comes to energy—and many educational system is one of the primary con- of them are largely untapped,” he says. tributors to Utah’s stellar workforce. in recent years, Utah has significantly in- eccles talked about Utah’s efforts to improve creased its discovery and production of tra- the communication between three key stakehold- ditional fuels, natural gas and other energy ers: business; education; and government. “we sources. (see the “energy and Public Utilities” have something unique occurring here in the section of the 2010 Utah facts Book.) Utah cluster acceleration partnership (Ucap) Governor Herbert’s philosophy carries the “We are finding vast reserves of natural gas because it brings industry and academia together same resonance as visionary leaders who pre- and other fuels,” says Herbert. for example, in powerful ways,” said eccles. he explained that ceded him, creating such economic develop- significant deposits of high-quality, low-paraf- government works closely with industry and aca- ment projects as: fin oil has been discovered in central Utah, aid- demic leaders to identify the types of students ed by new technology. analysts estimate that and skills that the business community needs. The legislative and regulatory environment there are more than one billion barrels of easy- educators then develop curriculum to support that allowed Utah to become the global to-refine oil in one of the fields. Juab County in those needs. these unprecedented partnerships leader in the industrial bank industry. central Utah is home to significant reserves of are facilitated by a collaborative effort between The pioneering Centers of Excellence bio-diesels and other bio-fuels. the Utah Department of workforce services, the program, which successfully Utah also possesses a massive quantity Utah system for higher education, and GoeD, commercializes technologies that of clean coal; its high BtU makes it burn ex- which help support academia in job training and flow out of Utah universities. tremely hot, while its low sulfur content en- placement in one of seven targeted industry clus- The Utah Fund of Funds program, sures that it burns considerably cleaner than ters. the Ucap partnership provides just one which increases the amount and diversity coals from other states. example of how key governmental stakeholders of capital available to promising Utah in addition to these traditional fuels, Utah work together with education and industry. entrepreneurial companies. is home to a rapidly-growing renewable energy earlier this year an education partner, the Uni- The Utah Science Technology and industry, including significant wind, geother- versity of Utah, through its research and commer- Research program, which helps attract mal, solar and hydroelectric power projects. cialization efforts, tied massachusetts institute of world-class research and commercialization “thanks to new fuel discovery and capture technology as the no. 1 campus in the nation for talent to Utah universities. technologies developed or ‘refined’ at Utah uni- spinning off companies and Ustar is enhancing A variety of award-winning rural economic versities—which enable us to more effectively these results through its commercialization ef- development programs. fracture the rock to find and extract fuel—we forts. “the legislature has committed $300 mil- are literally awash in natural gas, a cleaner fuel lion through the Ustar program,” said eccles. Governor Herbert is fully committed to than traditional gasoline with respect to green- “this creates significant private sector opportu- building upon this legacy. “Going forward, our house gases,” says Governor Herbert. “these nity, because profit is a great motivator.” administration will be guided by the questions fuels, together with our emerging renewable re- “in addition to our business friendly activities of, ‘What we can do to help our homegrown sources, will allow us to significantly grow our in the state we recognize that the cost of energy Utah companies and entrepreneurial talent economies in the short-term. and, in the long is a key component in what business does, and it to, first, stop the bleeding, and, next, grow and term, will help provide energy independence relates to our ability to attract companies here,” expand?’” he says. “We have a tremendous ris- for america and ‘fuel’ our growing economy. said eccles. helping supply affordable energy to ing generation of entrepreneurial talent with Utah is poised to become one of the drivers of the nation and keeping operational costs low are extraordinary creativity in business, science energy independence and growth in the econo- Utah’s plentiful energy resources, including natu- and technology. We are going to do all we can my not only in Utah, but also nationally.” ral gas, coal and oil shale fields. alternative and to empower them to take Utah to levels of Bolstered by Utah’s momentum in econom- renewable energy in the form of wind, solar and achievement greater than anything we have ic development, education and energy, Gover- geothermal power are also under active develop- yet experienced.” nor Herbert is bullish on his state’s present and ment in Utah. future: “if i were your financial advisor, i would tell you without hesitation, ‘Buy Utah!’” bU SuppoRting SucceSS 1 with Utah’s pro-business strategies, fiscal re- sponsibility, low unemployment, education initia- # moSt dynAmic economy tives, and aggressive energy development, eccles 5 KaUffman 2008 state new economy inDex points out that Utah is poised to lead the nation in emerging from its current economic challenges. # hAppieSt u.S. StAte 2 when coupled with the self-reliant and produc- msnbc - GallUp tive citizens, its vast resources, its quality of life, and its innovative industries, it is clear Utah’s # AmeRicA’S heAlthieSt StAte successful past is merely a prelude to its even Forbes maGazine brighter future. bU 20 Utah Governor’s office of economic Development
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    • GRoWInG “The incentives will allow us to continue to expand our operations here in the state,” Nel- UtAh son says. “We wanted to be here and I’m glad that GOED was willing to work with us.” Over the next decade, Nelson plans to add up to 350 new employees, many of them highly paid scientists and technicians. Companies Flourish The state of Utah will reap the rewards of increased taxes—as well as the continued pres- in the State’s Fertile Soil ence of a life sciences company with a global reach. Nelson Laboratories provides analytical By Heather Stewart and microbiological testing services to the medical device, pharmaceutical and dietary supplement industries. With a 25-year history Years ago, entrepreneurial success brought Jeff Nelson to a tough in Utah, the company boasts more than 4,000 decision. His company, Nelson Laboratories, faced a crisis of clients in dozens of countries. growth—its staff of nearly 300 scientists and support personnel “The presence of Nelson Laboratories in completely filled the company’s facility. But Nelson had plans for Utah helps grow the life sciences cluster here. even greater growth, so he reluctantly began considering a move to We are a benefit to the medical device and a new location, even if that meant leaving Utah. pharmaceutical companies that might want to “It’s a very friendly business environment move here,” Nelson says. here,” Nelson says. “But as a businessman, I knew that all the cards were on the table.” An InCentIve to GRoW Fortunately, the Utah Governor’s Office Utah is well known for its sunny, desert climate of Economic Development (GOED) stepped in featuring red sand dunes and high mountain with post-performance tax credit incentives peaks. But the state has also been long recog- that made it possible for Nelson to expand nized for its incredibly fertile business climate, onto his current facility, nearly doubling the which has enabled companies of every kind to space to approximately 110,000 square feet. thrive and grow. 1 nelSon lABoRAtoRIeS 24 Utah Governor’s office of economic Development
    • Jeff NelsoN NeLsoN LaBoratories Building a Business in Utah The fact is Utah has all the right environ- mental factors to help companies succeed. The cost of doing business is low, the local work- force is young and educated, and a great qual- ity of life attracts top talent from around the world. On top of that, the state’s research uni- versities and vibrant community colleges turn out a fresh crop of graduates each year. All of these factors contribute to the suc- cess of a wide range of companies, from fi- nancial powerhouses like Goldman Sachs to defense contractors such as ATK. Information technology companies like Overstock.com have also found a happy home in the Beehive State. Omniture, a Web-analytics company, is a classic Utah success story. Founded in 1996, NeLsoN LaBoratories, a contract laboratory nelson says the key to his company’s success the high-tech startup quickly grew into a dom- that provides analytical and microbiological in Utah has been the state’s centered location and inant worldwide presence with 1,200 employ- test services to manufacturers in the medical cluster initiative. “we have great access to reach ees based around the globe. Omniture recently device, pharmaceutical/biopharmaceutical, di- clients on the west coast and the east coast. it agreed to be acquired by Adobe Systems in etary supplement and tissue industries, first couldn’t be a better location,” he says, adding, order to further expand its reach and its offer- opened its doors in 1985 near the University of “we’re excited to see the state’s cluster initiatives ings. The company will continue to operate out Utah. initially employing only five individuals, which will help specialized companies do well. of Utah as a division of Adobe. the company has since grown to more than 290 GoeD is really making it easier for companies to Utah’s great business climate is no acci- scientists and staff. among them are more than move to Utah. the state is also developing a tal- dent—it’s nurtured and protected by GOED. 110 degreed scientists of which more than 45 ented workforce that’s really exciting.” “When Governor Gary Herbert took office, he are registered and microbiologist specialists. nelson laboratories was recently awarded an wanted us to put a special emphasis on helping when the company needed to expand its fa- incentive to expand in the state, but nelson says local companies expand,” says Derek Miller, cility to make room for its phenomenal growth, the incentive was only the icing on the cake. managing director of GOED. ”We recognize Jeff nelson, ceo, says he never seriously con- “GoeD didn’t just give us money, they gave us an that our best customer is our current custom- sidered taking the lab outside of Utah. that’s incentive to create jobs,” he says. “GoeD is work- er, so as long as we have businesses here in the because from day one Utah proved to have what ing for the state and holding companies account- state, we are going to help them grow.” the company needed to succeed. able to produce. overall, GoeD and the local gov- What is the best catalyst? For corporate “we have had really good luck being in Utah,” ernment of taylorsville were great to work with. growth it is tax relief. GOED uses post-perfor- says nelson. “when it came to considering where they’ve helped me learn a lot about the local mance tax incentives—like the ones that Nel- to locate, it was an easy choice for several rea- structure and economic development of Utah. son Laboratories received—to help companies sons—Utah had everything we needed.” they really spent time teaching us about all the expand their operations in Utah. different ways they could support us. they were patient with me as a business owner—they walked me through the process and listened to “The current economy is causing companies our needs. it’s been a real partnership.” to think about ways to save money, and that includes looking at Utah.” JoSh Romney, Governor’s policy aDviser www.bUsiness.Utah.Gov 25
    • “The current economy is causing compa- nies to think about ways to save money, and that includes looking at Utah,” Miller says. Web-auction company eBay, for example, recently decided to close down an operation These incentives only take effect when a outside of the U.S. and greatly expand its pres- company actually expands and adds workers ence in Utah. to its payroll. If the company ends up paying in- With the financial backing of some post- For example, GOED’s Miller points to the creased corporate wage, withholding taxes and performance incentives, eBay is constructing Procurement Technical Assistance Centers, sale taxes, it could receive a refundable credit a new data center that will create 50 new posi- which “help small businesses navigate the for up to 30 percent of those increased taxes. tions, and it is currently adding 400 new jobs to difficult waters of government contracts.” “We don’t leave bags of money on a leader’s its customer support center. Counselors from the centers walk companies doorstep and hope something will happen,” Post-performance tax incentives made a through the process of registering and submit- says Miller. “There’s no up-front money.” In- significant difference in the company’s deci- ting proposals for federal, state, local and mili- stead, companies enter into a contract with sion to invest further in Utah, according to tary contracts. the state in which the company agrees to ex- William Lasher, senior director of indirect and According to Miller, the Procurement pand its operations in the state, hire new work- multi-state taxes for eBay. “A lot of factors go Technical Assistance Centers helped Utah companies score over $370 million in govern- ment contract work in just the first half of the “We recognize that our best customer fiscal year. is our current customer, so as long as we GOED’s International Trade and Diplo- macy Office aids local companies as they work have businesses here in the state, to expand their reach into global markets. The we are going to help them grow.” team connects Utah businesses with potential international partners and markets. The office deRek mIlleR, manaGinG Director of GoeD also relies on diplomacy to open up new foreign markets and educate the world about valuable ers at wages that are at least 125 percent of the into site selection,” he says. “Tax costs are one industries in Utah. county average (in urban areas) and commit to of them. We do a comprehensive analysis of Utah’s rural areas often provide an ideal remain in Utah. the tax situation for each site under consider- business solution, with easy access to trans- These post-performance incentives could ation.” portation corridors, an ample workforce and come into play in a variety of situations: when However, tax relief was not the only reason many natural resources. On top of these as- a company simply wants to expand with new Utah became eBay’s top choice. sets, the state offers fast-track grants and in- offerings or products, when a company consol- “Utah has an educated and diverse work- centives for companies to expand and grow in idates operations into Utah, or when a merger force,” says Lasher. “The community is well Utah’s rural communities. or acquisition results in a greater corporate suited for eBay, with great language, commu- Agriculture is a large component of Utah’s presence in Utah. nication and technology skills.” economy, and a local organization is work- The latter situation was the case for the for- Lasher also credits GOED with helping ing to bolster the state’s many food producers, mer Huish Detergents, a Utah-based company smooth out the difficulties inherent in an ex- manufacturers and distributors. that was acquired by Connecticut-based Uni- pansion project of this size. “The officials at The Utah’s Own program was originally lever in 2008. Together, the companies formed GOED helped us build relationships in the launchedbytheUtahDepartmentofAgriculture Sun Products Corporation. business community and with other govern- and Food, but has expanded over the years with The parent company initially looked at ment agencies,” he says. “They helped expedite backing from the state legislature. Utah’s Own moving the Utah operations to Connecticut. decisions and cut through some red tape.” encourages state residents to support home- “We engaged with Sun Products and talked grown companies by choosing local products. to them about not only keeping the Utah jobs CUltIvAtInG loCAl ComPAnIeS The program started out promoting a small here, but moving new jobs to Utah as well,” Financial incentives are just the tip of the ice- handful of Utah-brand food products, but has Miller says. berg when it comes to state support of local grown to encompass hundreds of food produc- Now, Sun Products is in the process of a $14 businesses. GOED has several programs that ers and manufacturers, as well as other agri- million expansion of its Utah facilities. contribute to the success of companies in all cultural products like natural-fiber fabrics and regions of the state and in every industry. soaps. A GReAt vAlUe “At GOED, our number-one priority is cre- Indeed, companies worldwide are taking a new ating jobs,” says Miller. “Utah is blessed to be in look at Utah as a viable site for doing business— a situation where we have the workforce, the whether it’s a manufacturing plant, an IT com- quality of life and the right business climate to pany, or a new corporate headquarters. attract and grow outstanding companies.” BU 26 Utah Governor’s office of economic Development
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    • BRInGInG It StRAteGIC FoUndAtIon Several unique program components have been instrumental in Utah’s success. The starting point is a clear, well founded strategy driven by the State’s innovative Targeted Eco- home nomic Cluster approach. Directors in different strategic business areas provide focus and pri- ority for highly attractive segments of econom- ic development emphasis. “Cluster directors help identify targets for what’s currently hot Responsible Recruiting and what’s coming down the road,” says Derek Miller, managing director for Business Growth Funds Utah’s Growth at GOED. “Utah’s competitive advantages are articulated in these cluster strategies in the form of our strengths and natural abilities that By Mark Dayton will translate into recruiting advantages.” A good example of this targeted approach is in the digital media sector. For a number of years Utah has been developing a growing depth of digital media talent, through strong university programs at the University of Utah, Brigham Young University and Utah Val- over the past few years a steady stream of announcements have ley University, and an increasing number of hit the press regarding major companies who are expanding opera- skilled entrepreneurial startup “alums” with tions to the state of Utah. Driving past some of these major new hands-on, in-the-trenches experience. “In the business installations gives the sense that things are happening in past, we trained all of these good people, and Utah, despite the grip of recession that has all but crippled many the best and brightest were recruited out of other areas of the country. and indeed things are happening. over state,” says Miller. “By combining this valuable the past three years, Utah has successfully landed 31 out of 32 ma- talent resource with Utah’s outstanding qual- jor relocation/expansion deals it has competed on. ity of life, business environment and other ad- However, the excitement around that lev- vantages, we are attracting major companies el of success can create the illusion that these that will provide jobs and keep our talent pool things “just happen” through the mysterious in the State.” operations of the market. While Utah intrin- A growing list of companies are leveraging sically has much to offer, behind the growth Utah’s winning combination of factors in this is a well-oiled machine that has compiled buoyant sector, including Disney Interactive an impressive record of maximizing Utah’s (video games), EA Arts (sports video games), strengths to recruit some of the world’s pre- Sandman Studios (digital effects for movies 2 mier companies to the Beehive State. like Shrek, Pushing Daisies) and Niche Studios The recruiting machine is built and man- (digital effects). “They have all discovered eco- aged primarily by the Governor’s Office of nomic and talent recruitment/retention ad- Economic Development (GOED). After sys- vantages in Utah versus traditional Southern tematically planning their approach several California locations,” says Miller. years ago, the group has gone about orchestrat- ing a highly attractive and effective program of creating strong win-win partnerships with a growing list of marquee companies anxious to leverage the native and program/incentive benefits the state provides. The approach re- lies on sound strategy, creative public/private partnerships, strong business fundamentals and commitment to an open partnering ap- proach focused on long-term success and em- ployee satisfaction. SAndmAn StUdIoS, vISUAl FX FoR Pushing Daisies. 28 Utah Governor’s office of economic Development
    • William lasher seNior DireCtor, eBaY Why eBay Chose Utah By Linda T. Kennedy PUBlIC/PRIvAte ReCRUItInG PARtneRShIPS With strategies solidly in place, the machine next shifts into active recruitment gear through a partnership with the Economic Development Corporation of Utah (EDCU). This private- sector organization provides the expertise, relationships and manpower to recruit com- panies and manage prospective opportunities through the process. “They are our boots on the ground, knocking on doors, making the pitches and nurturing the relationships,” says Miller. “We have a strong partnership with them that has worked extremely well, saving us the need to staff up to try and do it internally.” In addition to proactive personalized re- cruitment efforts, the state also works through FoUNDeD iN 1995, eBay is known the world in June 2008, the company announced that consulting organizations that focus on corpo- over for global commerce and providing inter- it would be adding a 250,000-square-foot data rate site selection activities. These partners net platforms for payments and communica- center to Utah. and in may 2009, ebay brought work through industry associations, maga- tions. it has expanded to include some of the 200 new full-time positions to its customer sup- zines and other mediums to ensure that Utah strongest brands in the world, including PayPal, port operations. less than a half year later, in oct. is well represented in the coverage and rank- skype, shopping.com, stubHub, rent.com, Half. 2009, ebay decided to expand its Utah workforce ings provided to site selection decision makers com and others. and its operations have also again, adding 207 additional positions. in target companies. expanded beyond it’s headquarter offices in san the economic Development tax increment Jose, California to Draper, Utah. financing ebay received from the state of Utah leveRAGe the FUndAmentAlS “ebay chose Draper city for a customer sup- coupled with incentives received from local cities, Having engaged potential companies in the site port center in 1999 primarily because of the were helpful when ebay had to make a quick deci- selection process, the recruiting discussion quality of the workforce, favorable business sion on where to locate the new U.s. employees. shifts to detailed analysis of business funda- climate and proximity to san Jose,” says wil- but lasher says ebay was especially surprised mentals, an area where Utah consistently ranks liam lasher, ebay senior director, indirect and with the level of involvement these organization extremely high on three of the most crucial multistate taxes. “as the Draper facility grew, had in helping ebay solve its problems. measures. “Almost without exception, compa- we became increasingly aware that the business “if we encountered an issue or an opportu- nies who have located in Utah cite three impor- conditions in the state were ideal.” so ideal that nity that we needed assistance with, we would tant differentiating factors: workforce, business over the next 10 years, Utah’s ebay staff grew to place a call and within hours, we would usually environment and quality of life,” says Miller. 1,000 employees, and the company decided to have a reply,” he says, adding that in the rare further expand its local operations. case someone didn’t have an answer, they would always provide ebay with an alternative contact. “GoeD did more than process our application “Almost without exception, companies who for incentives; they did whatever they could to make it easy for ebay to do business in Utah.” have located in Utah cite three important differentiating factors: workforce, business environment and quality of life.” deRek mIlleR, manaGinG Director of GoeD www.bUsiness.Utah.Gov 29
    • “The consulting study findings reported a highly competent and willing workforce in Tooele.” dAve eIChmAn, loGistics operations Director for reckitt benckiser and strong environmental commitment in the areas where we operate” says Kim Brown, di- rector of distribution for Quality Bicycle Prod- ucts. “Ogden fits our culture with its outdoor meASURe oF SUCCeSS and biking orientation, access to extensive Despite the impressive statistics the state has biking trails and plans to build a velodrome. compiled over the past few years, Miller relies Reno was our next choice, but it doesn’t have on one simple factor as a prime indicator of GRoUndBReAkInG oF ReCkItt BenCkISeR the highly developed mountain trails and ac- success: repeat customers. “We helped eBay dIStRIBUtIon CenteR cess that Utah has, and it’s not known for being expand their workforce by 200 people in Utah environmentally friendly.” a year ago, and they were so happy with the way Reckitt Benckiser (makers of Lysol, things worked out along the three key factors Woolite, Easy-Off and many other household PRUdent InCentIveS (workforce, business environment, quality of brands) recently undertook a comprehensive The state has developed a number of incentive life), they came back two months ago to move network study to evaluate the possibility of programs that can provide attractive additions 200 more,” says Miller. “Goldman Sachs was improving the cost of distributing their brands to strong basic business factors. These cre- the same story. Their first Salt Lake City-based in the U.S. while still maintaining outstand- ative additions to the package are both highly office was so successful that now Goldman ing customer service by relocating to a differ- attractive to the potential recipients and fis- Sach’s business units around the world are ent state. Utah was highlighted in that study, cally sound and low-risk to the state. “Incen- looking at Utah as a place for them to expand.” and through a comprehensive vetting process tives can be important in tipping the balance (which included geographic location, con- in favor of Utah or a particular location in the SUCCeSS BeGetS SUCCeSS struction sites and cost, etc.) narrowed the state,” says Miller. “Our incentives are post- Great partnerships and company successes not field to Tooele, Utah and three other cities. performance-based, so it is always cash-posi- only generate internal buzz for those who have “We were a little leery about building in tive to the state.” relocated to Utah, but they help build the criti- Tooele, because we were unsure of the quality cal mass essential to attracting a wider group of and availability of the workforce,” says Dave PARtneRShIP mentAlIty prospective companies. Utah’s success has al- Eichman, logistics operations director for Miller attributes much of Utah’s successful re- ready generated notoriety in prime publications Reckitt Benckiser. As a result, the company cruiting to a partnership approach in working and studies like Forbes magazine and Gallup Poll. hired a consultant to conduct an extensive with companies considering locating in Utah. As leading organizations pile up successes in study of the local workforce through inter- “The way I approach recruiting is partnership the State, it raises questions in other executives’ viewing local employers, employees and other – is it a good fit,” says Miller. “The worst thing minds about what they might be missing. “The individuals in addition to analyzing demo- that could happen is that a company comes, it’s business world is in actuality a small world. Word graphic and other data. “The consulting study not a good fit and they don’t like it here. When of mouth spreads very quickly,” says Miller. “I’m findings reported a highly competent and will- we approach it as a partnership, and it’s a good now talking to people who ask ‘what’s going on in ing workforce in Tooele,” says Eichman. Based fit for the company and for the state, we know Utah that I need to be a part of?’ They don’t want on those findings and a number of additional they are going to be successful, the employees to miss an important strategic move.” factors, Tooele was ultimately selected for the are going to be happy, and they are going to be a company’s new regional distribution center. good corporate citizen.” It’S StIll hAPPenInG In UtAh “Interestingly, everything that was found in the Looking for that fit on both sides is a major Utah’s ability to recruit the world’s best busi- original study was substantiated as we opened part of the successful recruiting effort by Mill- nesses appears to still be on track even through and staffed the new facility,” says Eichman. er and his team. With major companies that economically challenging times. “Utah’s fun- Fitting company culture to the local qual- have moved to the state, including Goldman damentals still look strong, and we expect to ity of life is also an important decision factor Sachs, Proctor & Gamble, Hershey and Disney see continued strong interest from companies for many companies. After evaluating a num- Interactive, discussions ultimately centered who want to locate here,” says Miller. While ber of other sites, Quality Bicycle Products, a on these fundamental questions that formed that interest doesn’t just happen, a strong re- leading supplier of parts and accessories to the the basis for future relationships and com- cruiting mechanism will continue humming bicycle industry, selected Ogden, Utah for its mitment. “With all of these major companies, along behind the scenes, keeping Utah a hap- Western regional distribution center. “Culture we had the basic discussion around whether pening place for business. BU is an important part of our doing business. It is it makes sense to form this partnership,” says important to us to match our corporate values Miller. “Those are the types of questions they were asking and we were asking.” 30 Utah Governor’s office of economic Development
    • new 170 South Main Street, Suite 1600 • Salt Lake City, Utah our ess is ad dr on-line at comre.com www.bUsiness.Utah.Gov 31
    • GoInG FIRSt WInd PRoJeCt GReen Utah’s Sustainability efforts lead the Way By Peri Kinder With vast amounts of natural resources and open space, Utah is moving to the forefront of states attracting renewable energy com- panies. Now with the addition of a state development plan, the re- newable energy Development incentive (reDi), Utah has a program that creates the framework for a win-win situation for everyone. REDI is an aggressive incentive program offered by the Governor’s Office of Economic GoInG FoR the GReen Development (GOED) to encourage business- Even before the State rolled out the REDI es to bring their innovative renewable energy program, a number of companies recognized companies to Utah. Based on criteria includ- significant opportunity in Utah. For example, ing long-term capital investment, job creation First Wind’s Milford Wind currently gener- and financial stability, companies can receive ates 203.5 megawatts of clean energy, and will a post-performance, refundable tax credit for produce even more in future phases. First up to 100 percent of new state tax revenues for Wind spent almost $86 million to develop and the life of the project. build the project, with a significant amount of 3 “As the renewable energy industry grows, the development costs being paid to Utah busi- Utah intends to play in a big way,” says Spen- nesses. Raser Technologies, headquartered cer Eccles, GOED executive director. “I see in Provo, and operating in Southern Utah, is Utah as being a leader in this field due to our already developing clean, geothermal energy natural resources and our trained employees.” power plants to supply energy to thousands of To be eligible for REDI, a company must be homes. engaged in generating renewable energy, such “Raser is literally revolutionizing geo- as solar, geothermal, wind or hydroelectric thermal power,” says Samantha Mary Julian, power, or producing renewable energy com- GOED energy and natural resources cluster ponents, like wind turbines or solar panels. director. “Utah is open for business to all types “We must also engage Utah’s rural areas,” said of energy. We want our portfolio to be diverse Gov. Gary R. Herbert in his 2010 State of the and sustainable.” One of the Utah companies State address. “As there is no one who has capitalizing on the state’s diverse resources is more know-how, or more at stake, than those the Renewable Energy Development Corpora- communities in Utah whose lifeblood is- and tion (REDCO) with headquarters in Draper, has historically been- the energy industry.” Utah. REDCO hires geotechnical contractors, 32 Utah Governor’s office of economic Development
    • Tom hoffmaN, PartNer, BaLLarD sPaHr Creating a Greener Utah tHe state oF UtaH is committed to enhanc- ing renewable energy opportunities for all busi- nesses and organizations within the Beehive state. one major player helping the state’s green efforts is tom Hoffman, co-partner-in- charge of the energy and Project Finance Group at law firm Ballard spahr andrews ingersoll. though Hoffman practices in Washington D.C., he spends much of his time working with Utah leaders to enhance the state’s environmental practices. most recently hoffman has worked with salt lake county and Utah clean energy to develop and promote solar energy legislation. one ex- ample is Utah house bill 145. sponsored by rep. brad last, the bill removes regulations on third- biological and environmental consultants and party suppliers of renewable energy, making civil engineers to develop renewable energy those companies eligible to receive tax credits products using the natural landscape and re- when working with nonprofit and government sources of each area. REDCO has not limited organizations. its projects to any one source of energy, and is hoffman says the plan is a win-win for all therefore creating unique solutions for clean participating entities, as the nonprofit or gov- hoffman adds that this law will also make energy. ernment organization will benefit from lower en- Utah an easy choice for companies looking to But it’s not just renewable energy compa- ergy costs and the third party entity, who owns relocate to the beehive state. “a lot of commer- nies bringing their projects to Utah; Proctor & or leases the structure (a solar panel roof, for cial industries that might like to relocate to Utah Gamble recently opened a $300 million plant example), will be eligible to receive a tax credit. will find this appealing,” he says. in Box Elder County. P&G started instigating “this was a major piece of legislation that will Darin lowder, associate at ballard spahr, “green” policies and products more than 20 promote solar energy by allowing nonprofits, agrees that the legislation will be another incen- years ago, long before it was the thing to do, and like churches and universities, and the govern- tive for companies thinking about relocating to the Box Elder County plant is consistent with ment to participate in renewable energy and so- the state and will keep renewable energy sup- P&G’s vision for sustainability. lar energy projects,” hoffman explains. pliers already in Utah happy. “the expansion of The company’s 5-step plan incorporates the solar and other renewable energy industry in sustainability with social responsibility, em- Utah helps lower costs for all purchasers by cre- ployee involvement and finding the right part- ating a more competitive market,” says lowder. nership for their business. That is why the “this bill will encourage nonprofit and govern- company chose to locate its plant in Utah. mental entities to develop more on-site, renew- “We designed this from the very beginning able energy and make those energy sources to be the most sustainable operation we can more easily available to other potential custom- make happen,” says Julio Nemeth, vice presi- ers. it will also establish examples of success- dent of supply in P&G’s family care business. ful installations and demonstrate the technical “We are respecting the native colors, plants feasibility of the projects so that other projects may follow.” “Utah is open for business to all types of energy. We want our portfolio to be diverse and sustainable.” SAmAnthA mARy JUlIAn, Director, GoeD enerGy anD natUral resoUrces clUster www.bUsiness.Utah.Gov 33
    • “As the renewable energy industry grows, and biology. There is a lot of connection and a Utah intends to play in a big way. I see Utah as lot of open space. A lot of interaction with the environment.” being a leader in this field due to our natural The building incorporates solar panels and resources and our trained employees.” other energy-saving and sustainability mea- SPenCeR eCCleS, execUtive Director, GoeD sures to reduce energy and water consumption and waste. P&G is dedicated to environmental awareness, not as a marketing device, but as an everyday way of doing business. P&G as- serts that all the products developed by it are good for the environment; there is no separate a hallmark of responsible building develop- “green” line of products like many other com- ment around the world. panies offer. Rio Tinto, the parent company of Kenne- “We have been focused on saving energy, cott Land and Copper, has been applauded for “We’ve been able to be a leader in sustain- water and emissions for the last 25 years,” its sustainability efforts. With 5 LEED-certi- able development because of Rio Tinto,” says Nemeth says. “We expect to have the best fied buildings in a 5-mile radius, the company Don Whyte, president of Kennecott Land. “We manufacturing building in Utah. That isn’t ar- is dedicated to creating a business, residential started off with ownership that was commit- rogance. That’s ambition.” and community center based on sustainability. ted to this from the start. There wasn’t a per- “Large and small companies want to use Its Daybreak development has become a model son in the business who didn’t understand the renewable power and are building to energy- for sustainable technologies and projects. importance of sustainability.” Eventually there efficiency standards,” says Theresa Foxley, Each project at Daybreak must meet envi- will be 10 LEED certified buildings in the Day- GOED’s renewable energy project manager. ronmental stewardship standards and meet break development. “By generating their own renewable power, the needs of the present generation without Most people don’t associate sustainability companies are conscientious about both the inhibiting the needs of future generations. with mining operations, but as the largest cop- price of power and the source as well.” To that end, Daybreak, which is located in an per mine in the world, Kennecott Copper sets aquifer recharge zone, is designed to collect high environmental standards to benefit the leedInG the WAy 100 percent of the 100-year storm water on- employees and the community. A vehicle idle- The Leadership in Energy and Environmen- site—one of the highest rates in the nation. management project at the mine saved more tal Design (LEED) Green Building Rating Furthermore, the Kennecott headquarters, than $1 million in fuel as well as lowered CO2 System™ certification provides independent, located in Daybreak, consumes 33 percent less emissions. Higher-tier engines and on-road third-party verification that a building project water than a similar building of the same size spec diesel fuel contributes even more to low- is environmentally responsible. It has become and age. ering emissions and increasing air quality. tAPPInG UtAh’S nAtURAl And hUmAn ReSoURCeS GOED encourages companies with technolo- gies designed to enhance existing natural re- sources to come to Utah. By creating new ap- proaches to green initiatives, GOED hopes to make the most of the geothermal, wind and solar power renewable energy companies by providing a skilled workforce, exceptional in- centives and the entrepreneurial spirit Utah is known for. “We’ve had a lot of interest,” Eccles says. “This is a nascent industry and one that Utah is trying to grow within the state. Utah will be moving to the forefront in the next decade.” BU UTah faCTs dAyBReAk sPeCiaL rePort PULL oUt seCtioN 34 Utah Governor’s office of economic Development
    • Expertise Comes In Many Different Forms www.bUsiness.Utah.Gov 35
    • the rIght trAck utah’s education Prepares Students for Lifelong Success statistics report more than 60 percent of jobs in the future will require less than a bachelor’s By Candace M. Little degree, but more than a high school diploma, and Utah is working hard to ensure that young people are not only prepared to continue in tra- Utah has more than 1,000 schools in school districts, 72 charter ditional education, but prepared to enter the schools and about 175 private schools. Utah’s public school sys- workforce with vocational skills training. tem enrolls more than 560,000 students. The U.S. Census Bureau Private schools, like Meridian School in reports the average population of 100 Americans includes 17.4 Orem, Utah are also having a lasting impres- school children. Utah’s average is much higher, and the highest sion on Utah’s education. Established more in the nation at 21.2 school children per 100 people. Because of than 20 years ago, Meridian is a private col- this disproportioned number, funding Utah schools is a challenge, lege preparatory academy for students pre-K but also a priority to the state. “Utah has long been committed to through high school. Most Meridian students funding our public schools, our colleges and universities, and our are scoring two grades above average, accord- technical institutions,” said Governor Gary Herbert in his State of ing to IOWA standardized testing scores, and the State address. some eighth graders are scoring at a first year Utah parents are also dedicated to educat- college level. ing their children, shown in the amount of dol- lars saved for children’s education. The Utah InnovAtIve FundIng Educational Savings Plan (UESP) recently Utah’s workforce is changing with the state’s reached more than $3 billion in assets. The economic trends. Utah has seven target cluster UESP is a nonprofit 529 college savings plan areas for growth: life science, software devel- created by the State of Utah in 1996. Morn- opment and IT, energy and natural resources, ingstar, an investment research firm, reported outdoor products and recreation, defense and “Utah’s 529-plan has long been a favorite of homeland security, financial services, aero- 4 ours and remains a strong choice for its low space and aviation, and five competitor accel- costs, flexibility and tried-and-true Vanguard erator areas. Index Funds. The plan’s fees are a rock bottom The State of Utah uses its expanding eco- at 0.22 percent to 0.35 percent, making it one nomic clusters to not only help build Utah’s of the cheapest plans in the country.” economy and develop as a leader in particular industries, but also to help earn new monies A Strong StArt for its education fund. Before parents send their kids off to college, proper preparation must occur. Utah’s public schools offer much more than bare minimum curriculum. Eight elementary schools offer a Chinese immersion program, 85 secondary schools offer Chinese language classes, in addi- tion to some schools offering Arabic and most schools offering Spanish, French or German. High schools offer programs to prepare students for training in technical areas for direct entry into the workforce. Workforce MerIdIAn SchooL 36 Utah Governor’s office of economic Development
    • DaviD Lang, MAnAGinG direCTor, GoLdMAn SACHS & Co. Utah’s Educated Workforce Equals Success HAvinG An edUCATed workforCe is a top priority to Utah, and it succeeds as is evident in business relocations and expansions in the state. in november 2009, Goldman Sachs & Co., agreed to double its office in Salt Lake City. “our growth in Utah is a validation of Utah’s The State of Utah offers businesses post- strong talent pool, its robust business environ- production incentives to move to Utah or to ex- ment and infrastructure,” says David lang, man- pand. By expanding or relocating to Utah, these aging director, Goldman sachs. “in addition, the companies create new monies that are taxed, Utah culture is a natural fit for our firm’s corpo- and much of that tax is put directly into the rate culture where a strong work ethic and high Education Fund. New tax revenue is collected morals are emphasized. this region is an impor- from incentivized expansions or relocations tant part of our business and we look forward to out of three tax categories: corporate income expanding and building out more opportunities tax paid, withholdings or payroll tax paid, and here.” sales tax paid. These dollars are split so two- lang has spent time in Goldman sachs new thirds go toward the education fund and one- York and tokyo offices and can tell there’s some- third goes toward the general fund. thing unique about Utah students. “many of the The plan to create more money for Utah students we meet have had experiences out of schools has worked, even when facing the the country that have enabled them to gain sec- worst recession in recent history. Companies ond language skills, as well as a broader under- incentivized in 2007 and 2008 are reaching 90 standing of different cultures, which are impor- percent of their post-production goals. In 2008, tant skill sets we look for at Goldman sachs.” Utah offered incentives to 18 companies. If all lang says the Goldman sachs salt lake city “Goldman sachs looks forward to continued of these companies meet their goals (over an office currently employs more than 800 highly growth in the state of Utah given the tremen- average of 15 years), the Utah Education Fund skilled employees, and it anticipates hiring a sig- dous value it adds to the firm,” says lang. “one will receive more than $270 million in new tax nificant percentage of Utah residents through component of that value relates to the excellent dollars. the general labor market as well as through the talent we are able to recruit from Utah’s educa- Other programs and initiatives are put in Utah public, private and university systems. tional system.” place by the state to help to meet the needs Goldman sachs plans to comb through many Utah’s higher education system provides a of the growing economic clusters. The Utah Utah institutes of higher education campuses workforce with not only a degree, but it gives Science Technology and Research (USTAR) from Utah state University to Dixie state col- students a strong work ethic and builds char- initiative provides major funding for higher lege looking for talent across many majors, in- acter which, lang says, is a good thing. “we education projects that create novel technolo- cluding engineering, liberal arts and science, recruit students that we believe have not only gies to be commercialized through new busi- computer sciences, mathematics, accounting, the educational background, but the potential to ness ventures. USTAR provides funding for re- and finance. grow and contribute to the firm,” says lang. “we search teams as well as research facilities that look for characteristics that support our culture: focus on areas such as biomedical technology, team work, diverse backgrounds and skills, cre- brain medicine, energy, digital media, imaging ativity, motivation, committed to the firm and technology and nanotechnology. our clients, passion for excellence, analytical and problem-solving skills, communication skills and a strong work ethic.” “Utah has long been committed to funding our public schools, our colleges and universities, and our technical institutions.” governor gAry r. herbert, state of the state aDDress www.bUsiness.Utah.Gov 37
    • hIgher educAtIon AccoLAdeS Utah system of higher education includes 10 colleges and universities, four private institu- tions and nine other accredited institutions dynamically contributing to the economy and the state’s future. Accomplishments of Utah institutes of higher education are diverse. For example, 16 Westminster College students made up one-third of the United States Olym- pic freestyle snow ski team in the 2010 Winter Olympics and Weber State University offers courses focusing on unique subjects like exam- ining societal impact of computer gaming. Brigham Young University has been named a world leader in animation by Peter Catmull, byu AnIMAtIon center Pixar president. When visiting the campus in 2008, Catmull said, “It’s amazing to suddenly the risks of business ownership and manage- science advisor, says WIRED has brought in- see that BYU is producing the best in the in- ment. Centers and programs like this, along dustry, academia and government together in dustry. It’s the perception not just at Pixar but with USTAR initiatives spur business growth a synergistic manner. WIRED garners involve- also at the other studios that something pretty and research development. The National As- ment from public education, higher education, remarkable is happening here.” BYU’s anima- sociation of University Technology Managers government agencies, private business, and tion center has been awarded nine College recently ranked the University of Utah No. 1 in community and trade organizations across the Television Awards, commonly known as “Stu- the nation (sharing the ranking with M.I.T.) in STEM industries. dent Emmys,” from the Academy of Television starting research-based companies. Under the WIRED initiative, biotechnol- and Sciences, the same organization that gives Utah State University also contributes to ogy in the state education system has grown out the Oscars. Utah’s economy and the world with inventions immensely. High schools offer biotech lab The University of Utah has one of the larg- and research. USTAR is funding a $60 million courses, and Utah companies have students est entrepreneurial centers in the country, the life sciences building on USU’s Logan campus right out of high school ready to wear the lab Pierre Lassonde Entrepreneur Center. Since that will be finished in 2011. Energy research coat and centrifuge specimens. For students January 2000, this center has been provid- is particularly strong at USU with the Energy interested in furthering their biotech educa- ing real world business experience to help Dynamics Lab (EDL) and USU Biofuels Cen- tion, the state has garnered funding from vari- young entrepreneurs understand and assume ter, which focus on finding new alternative re- ous private and public organizations. It has newable energy sources. EDL’s Logan Lagoon paved the way for Utah Valley University to of- Project is turning pond water algae into reus- fer a four-year degree in biotechnology, with its able energy while improving the environment courses being taught off campus, as well at the a project USTAR believed is worth $6.5 million Salt Lake Community College. The first year in grants. this program launched, 88 students enrolled, a great accomplishment for a first-time pro- econoMIc connectIon gram. The program has continued to grow and Utah finds value in connecting education, busi- has reached close to 120 participants. ness and the community. Leaders see this as a WIRED creates learning opportunities vital part of spurring the state economy and for everyone from kindergarten through high ensuring future jobs and opportunities, par- school, and on. A demographic Goetz refers to as ticularly within the state’s economic clusters. “K through gray.” Engaging kids and their teach- One initiative that demonstrates Utah’s ers in STEM-based activities and development cluster accelerated partnerships in action is help train students’ minds from a young age. the Workforce Innovation and Regional Eco- Goetz says “It’s not enough to just work with nomic Development, or WIRED initiative, our undergraduate students that are engaged which began in 2006 with a $5.16 million fed- in STEM—we need to go younger.” Elementary eral grant given to the state to use for a pro- school students are learning new ways to solve gram designed to create a larger talent pool for story problems and high school football teams STEM (science, technology, engineering and are learning STEM-based principals as they math) based careers. Tami Goetz, Utah state apply the physics of the football game and the physiology of their bodies as they play. BU LogAn LAgoon Project 38 Utah Governor’s office of economic Development
    • www.bUsiness.Utah.Gov 39
    • the rIght coMbInAtIon economic clusters keep in 2005 as a catalyst to focus people, ideas and utah thriving resources on industry sectors that have the greatest sustainable competitive advantage. Since then, the identified industry clusters By Linda T. Kennedy have added 23,000 employees in the state or 16.3 percent overall. The world is just beginning to hear about the larger role Utah has SoFtwAre deveLoPMent And It made for itself in groundbreaking industrial achievement. Lead- The number of technology-related employers ers nationwide, in sectors from software development to energy in Utah has grown 43 percent over a five year and life sciences to aerospace, already know Utah “gets it” when it period from 2004, increasing the employee comes to fostering entrepreneurship and economic development. pool in this industry by 28 percent. “The state has the three legs of the economic “Companies have taken advantage of Utah’s stool in place, education, government and capi- strong IT and software workforce and our ongo- tal. They don’t just talk about it, they do it,” says ing number of high quality university graduates,” Ron Sherman, Utah’s senior relationship man- says Nicole Toomey Davis, director, Centers of ager for California-based Silicon Valley Bank, Excellence program and GOED’s software de- a financial services company that works with velopment and IT cluster point of contact. emerging technology companies and the life Along with the Utah Science Technology science, venture capital. “There is an invest- and Research initiative (USTAR) and Econom- ment community which is unusually healthy ic Development Corporation of Utah (EDCU- for a market this size and the universities spin tah) a private sector partner, GOED is building off technology, but they aren’t greedy.” a cluster of companies that creates media con- As a matter of fact, there was no fanfare in tent for films, television, video games (which December 2009 around the 40th anniversary grew more than 32 percent from 2005-2006 of University of Utah’s part in the creation of adding $77 million to the economy) and com- the Internet. Forty years ago, technicians at puters among many other applications. This 5 the university made the final connections on area alone employs more than 1,500 people in the system that was to become the forerunner 60 media firms statewide. Some of the largest of the Internet. names in the industry, such as Electronic Arts, To take a que from the state slogan “Life Disney Interactive Studios and Move Net- Elevated,” the virtual volume of technology works have offices in Utah. Home grown com- development in Utah is certainly “elevated,” panies include dynamic digital media compa- with companies such as IM Flash, Symantec, nies such as Sandman Studios and Spectrum Novell, Overstock.com, Sorenson Communi- DNA, all of which have headquarters in Utah. cations, Omniture and MyFamily.com. The Now, GOED and its partners have devel- State is wired well beyond just software de- oped an industry profile which identifies re- velopment and IT industry. The Governor’s sources needed by the industry in order to help Office of Economic Development (GOED) has it grow and engages with all companies vested identified seven targeted industry “clusters” in that growth. that have demonstrated significant growth “The concept of the profile is to identify in- capacity which are generating major revenue dustry strengths; what we have, who we have and economic growth for the state. here and who could be strategic partners to The economic power surge follows Utah companies that are going to move to Utah in establishing the Economic Clusters Initiative the future,” says Davis. 40 Utah Governor’s office of economic Development
    • Mark Messick ATk AeroSpACe STrUCTUreS Moving Utah’s Aerospace Industry Ahead By Lindsey Hannay ATk AeroSpACe STrUCTUreS is a premier aerospace and defense company with more USTAR facilitates networking events and than 18,000 employees in 22 states, puerto connects companies with university technolo- rico and internationally with anticipated fY10 gies. In March 2010, USTAR sponsored the revenue of approximately $4.8 billion. Appoint- first annual PushButton Summit to support the ed to his current position of vice president and software development and IT cluster’s growth. general manager in April 2007, Mark Messick “Utah’s research and regional higher education leads more than 1,000 ATk employees at seven institutions bring unique strengths to digital facilities located in Utah, Mississippi, California, media, not only in terms of visual arts and tech- ohio, Massachusetts and Colorado. Headquar- nology but also in terms of workforce develop- tered in Clearfield, Utah, ATk employs a work- ment,” says Steven Roy, USTAR Central Utah force of nearly 700 Utahns. “The workforce is Technology Outreach director. “USTAR’s role is clearly the key,” says Messick. “we find in Utah to help catalyze these efforts and make connec- a workforce that is extremely talented (among tions between university and industry experts.” the best in the world), hardworking and loyal. we have a strong core of talent that have been LIFe ScIenceS in Utah for 20+ years. people like it here.” facility expansion, because of Utah’s growing The Biotechnology Industry Organization atK, through its acquisitions, has had a pres- reputation as a solid contributor to aerospace (BIO) International Convention is the largest ence in Utah since the 1920s. messick says the structure products that support commercial and biotechnology event in the world. Utah has clearfield site has been selected as the head- military aircraft and space exploration markets. now been a contributing player for years at quarters because it is one of the great U.s. cen- “we produce clean, high tech and mission BIO. With the latest technology and company ters for composites design, analysis and manu- critical products that are central to our nation’s innovations, state officials and Utah life sci- facturing. “our aerospace structures Division, military defense and space exploration. also, ence companies annually showcase how life headquartered here in Utah, has become a criti- we are a real part of the global transformation sciences is a critical part of Utah’s dynamic cal part of the corporation’s growth engine for of commercial business. we are an exporter to economic environment. the future. the division has grown at a 14 per- france, Germany, UK, brazil and canada. all of “We showcase our best and show that we cent composite annual growth rate for the past these themes are consistent with Utah values are growing and have the resources companies four years, and we expect that growth to con- and Utah’s worldwide reach,” says messick, need,” says Tami Goetz, state science advisor at tinue for the next decade.” messick expects long who views Utah as a playing an important role GOED. “There have been inquiries from other term, stable growth in Utah, including continued in the future of our nation’s aerospace and de- companies looking at what technology we have fense industries. atK is emerging now as a criti- and wanting more information as they build cal part of our nation’s defense and aerospace their long-term business strategies. University industries. “our role on the Joint strike fighter representatives call to link with companies for f-35 program has steadily increased and we be- commercialization of the university research.” lieve it will continue to do so.” atK’s participa- Since 2005, Utah’s life sciences industry tion in other unclassified and classified military grew almost 18 percent. According to the Utah programs is also continuing to expand. messick Department of Workforce Services, in 2008 says this is a testament to the talent and dedica- the industry accounted for roughly 20,000 jobs tion of the Utah workforce, and an indication of in the state, and industry leaders say they will the direction we are headed. need 1,200 additional workers in the future. Now, with a $5 million Workforce Inno- F-35 ProgrAM vations in Regional Economic Development utAh’S econoMIc cLuSterS 1. Life SCienCeS 2. SofTwAre 3. AviATion 4. defenSe 5. finAnCiAL 6. enerGY And 7. oUTdoor deveLopMenT And AeroSpACe And HoMeLAnd SYSTeMS nATUrAL prodUCTS And And inforMATion SeCUriTY reSoUrCeS reCreATion TeCHnoLoGY www.bUsiness.Utah.Gov 41
    • (WIRED) grant from the U.S. Department of percent. The number of employers in this clus- hired an Energy & Natural Resources Cluster Labor, Utah is developing a qualified and di- ter increased by 24 percent, and those employ- Director, Samantha Mary Julian, to coordinate verse workforce for this industry; students are ers paid their employees an average wage 70 with the State Energy Program to promote and entering industry-related training courses, percent higher than the state’s average wage. expand Utah’s energy sector. Julian focuses on along with a biomanufacturing training pro- Besides having a highly technical work- creating an environment where local and out- gram and a new 4-year Biotech program. Ad- force, Utah is rich in natural resources, such of-state businesses can expand by building ditionally, 81,310 students have been impacted as oil, gas and coal, and has abundant access to relationships with academia, industry, fund- by the initiative’s outreach efforts. renewable energy sources, such as solar, wind ing sources, workforce development, technol- “Given our unique demographics, we have a and geothermal. Wind power plants in the state ogy and government. One way Julian accom- very young population and outreach activities have a generating capacity of up to 224 MW. plishes these tasks is by facilitating the state’s make them aware of academic and career op- Furthermore, geothermal sources have been Energy Working Group. Participants include portunities,” says Goetz. “It’s a wonderful oppor- producing power for Utahns for almost 30 years the State Energy Program, Governor’s Energy tunity to create a talent pool to help companies and Utah companies continue to make exciting Advisor, Department of Workforce Services, grow.” breakthroughs in geothermal technologies. So- USTAR, Department of Environmental Qual- Employers such as Myriad Genetics, ARUP lar energy is being utilized to power rural fuel ity, Division of Facilities Construction & Man- Labs, Merit Medical, Idaho Technology, BARD, production sites and is showing great potential agement, EDCUtah, Utah Clean Energy and Sorenson Genomics and IMC are strong life to extend to other operations. the Department of Agriculture and Food. The science companies in the state. But companies Research and development efforts in al- group discusses matters of federal funding such as USANA and NuSkin represent anoth- ternative energy focusing on unconventional opportunities and also focuses on creating ef- er very large life science industry sector: natu- fuels and energy efficiency, practices of lean ficiency and synergy between the various par- ral products and dietary supplements. With manufacturing, corporate recycling and energy ticipants. “It is really focused on collaboration several national leaders in Utah, it represents use conservation has brought recognition to efforts and learning awareness. Group meet- Business Utah almost 25 percent of the national market. our state. “Simply put, few other states have the ings provide an opportunity for agencies to energy resources with which we, in Utah, have become educated on what other agencies are energy And nAturAL reSourceS been blessed,” said Utah Gov. Gary R. Herbert in actively working on. This collaboration allows Between 2005 and 2009, Utah Energy & Natu- his 2010 State of the State Address in January. us to move forward in harmony,” she says. ral Resources Cluster employment grew by 48 As a result of this flurry of activity, GOED Governor Herbert has implemented the 42 Utah Governor’s office of economic Development
    • Lt. coL. anDy HaMiLton U.S. ArMY, BY LindA T. kennedY Charting New Territory LT. CoL. AndY HAMiLTon says the U.S. Army on top of that, hamilton says, having a place has everything it needs from Utah to keep build- to test, develop and integrate the system quickly ing the country’s defense systems, and save was paramount. “since we have two wars go- lives on battlefields. ing on now, we need to be able to get out there last year, the U.s. army selected Dugway quickly.” proving Ground to locate its rapid integration according to hamilton, the army was ac- and acceptance center (riac) for building and cepted by all levels of the community, from testing its Unmanned aircraft vehicle systems. tooele, to the Governor’s office, up to the sen- the technology allows commanders in battle to ate. “it’s been a concerted effort on all those lev- acquire a target and approach it without being els to support and help give us anything we may known. need to make our mission successful.” “we handle all the Uavs for the army, which now, without putting humans in danger, goes to show we have a huge task ahead of us commanders can have real time reconnais- and we needed a place that we could do test- sance, surveillance and target acquisition on the ing, development, training and other things to battlefield, and hamilton says Utah is enabling support that mission,” explains hamilton. “so to the mission. “eventually, Utah could be the Uav be able to do that, we needed a place that had center of excellence.” a large amount of restricted airspace, and of course we needed a community that would wel- come us and support us for the entire time we are going to be here. Dugway and Utah best fit that and even better than what we anticipated.” ArMy ShAdow, unMAnned AIrcrAFt vehIcLe O r ty v ry r i www.taylorsvilleut.gov High-Tech/Medical • Intermountain Taylorsville Government Services • Bureau of Criminal Identication Clinic • Calvin Rampton Government • ICU Medical Center • Nelson Laboratories • Utah Department of • DataChem Laboratories Transportation Headquarters • Utah Public Health • Utah Department of Workforce Laboratories Services Customer Service Facilities for the Deaf • American Express • Sorenson Communications • Convergys • Robert G. Sanderson Center for the Deaf and Hard of Hearing Education • Salt Lake Community Recreation College – Taylorsville • Jordan River Parkway • The University of Phoenix • Valley Regional Softball Park • ITT Technical Institute • Taylorsville Recreation Center • Taylorsville Library and Pool www.bUsiness.Utah.Gov 43
    • Utah Energy Initiative; a 10-year plan to en- ATK, Northrop Grumman, Lockheed Martin, access to fiber. We completed two of three and sure Utah’s continued access to its own low- The Boeing Company, Raytheon, Booz Allen continue to grow the third.” Also, in response cost energy resources, and its ability to be on Hamilton, L-3 Communications and SAIC. to the industries needs, composites training the cutting edge of new energy technologies. A huge growth area for the state is un- programs are now available at four educational “We are uniquely positioned in the Western manned systems. HAFB recently gained recog- institutions along the Wasatch Front. Energy Corridor,” said Governor Herbert. “We nition as the nation’s premier site to establish Finally, located along I-15 at Hill AFB, the have the generation capacity and the transmis- operations for unmanned systems’ develop- Falcon Hill National Aerospace Research Park sion systems, and we are at the crossroads of ment and evaluation, and the U.S. Army chose is one of the most strategically located aerospace the energy commerce and transportation in- Dugway Proving Ground to locate its Rapid research parks in the country. The 550-acre pri- frastructure.” Integration and Acceptance Center (RIAC), vate development is attracting the interest of which is expected to immediately generate 200 aerospace and aviation companies from across deFenSe And hoMeLAnd SecurIty jobs. “More could be hired as some of the major the country and has the potential to create thou- Utah’s Defense and Homeland Security Clus- unmanned aerial systems’ contractors locate sands of new high-paying jobs in Utah. ter sector is strong, employing approximately divisions of their companies here to Utah to “Utah’s aerospace and defense-related 37,000 Utahns. Hill Air Force Base (HAFB) is be close to and support the RIAC facility,” says industries generate billions of dollars in rev- the largest single-site employer with almost Wright. “It’s a gift that keeps giving; what we’re enue annually and employ tens of thousands 23,500 employees working on the base every going to see is more of the companies support- of Utahns across the state in high-paying jobs,” day, and is a hotbed for the local industries’ ac- ing RIAC locating in Tooele.” says Governor Herbert. “Private and public complishments. leaders have teamed up with Weber State Uni- “Because of the diverse technologies and AeroSPAce And AvIAtIon versity to increase the size of the aerospace activities that are required for Hill to accom- The Aerospace and Defense Cluster are very industry in Utah. By focusing on workforce plish its missions, there are many opportu- closely related in Utah, due in large part to needs in this area, we will develop the talent nities for innovative small companies and HAFB where many aerospace and aviation and innovation necessary to become the pre- entrepreneurs to support Hill AFB,” says Mar- industry activities originated from. For one mier player in the aerospace industry.” shall Wright, business development director thing, the cluster is comprised of industries at GOED, who assists with the defense and related to composites and advanced materials- A workIng InItIAtIve aerospace clusters. “Hill is very proactive in HAFB is the Air Force’s Center of Excellence The clusters’ impact on GOED and the state’s providing outreach seminars to reach the local for advanced materials. overall economy has been astonishing, says entrepreneurs and small business community “Where the composites are key for the fu- Harter. “The industry sectors are all talking so that they can avail themselves of the various ture of the air force is that when we look to have together, identifying what the needs are, and contracting opportunities.” greater capability in our air force systems, we working within their own local communities, In the fall of 2009, HAFB was designated to need materials that are certainly at the cutting state government and academia to create condi- maintain the F-35 Joint Strike Fighter, and was edge, and beyond, of being light and being strong, tions for success. It is really working in Utah.” selected as the logistics support activity for the and that’s what composites really are,” says Gary Harter explains GOED’s role with the in- Air Force’s Predator aircraft. Also, HAFB is be- Harter, GOED and Clusters managing director. dustry cluster companies is to be a conduit ing awarded 350 additional software and engi- “Most of these materials are in fighter aircraft for building relationships; GOED points com- neering support positions. and Hill AFB is where fighter aircraft are main- panies in the direction they need to go, for the The industry cluster also includes air- tained. So, it’s sensible to have it at Hill; and they answers they need to get. “We can say ‘here are craft and missile maintenance, electronics are coming up with materials we never thought the folks we think you should talk to, and here’s and communications, autonomous systems, would be able to do one thing or another.” a way to approach your challenges, needs and smart sensors and chemical/biological detec- The advanced composites sector started in goals to make your business successful.’ The tion. Leading companies in the cluster include Utah a number of years ago as Hercules, known state, and all the company employees benefit today as ATK. Now, other industry leaders such from the collaboration and the businesses con- as Hexcel, the largest domestic producer of tinue to hire which meets Utah’s overall goal of carbon fiber, ITT Integrated Systems, formerly increasing industry strength. EDO Fiber Science, Rocky Mountain Compos- “A working clusters initiative means more ites, and Applied Composites Technology are companies working in Utah,” says Governor located in Utah. They are involved in all com- Herbert. “Utah becomes more than a place posites that support aircraft, missiles, medical, companies would like to be, it becomes a place industrial, energy and recreational applica- they need to be.” tions and offer 182 percent of Utah’s average “The numbers support that,” says Harter, monthly wage. Aside from HAFB, aerospace explaining that industries grouped within the cluster employment in Utah is approximately cluster areas have added 520 million dollars in 9,927. Since 2005, the industry cluster, overall, total wages since 2005. That makes doing busi- has grown over 18.4 percent. ness in Utah, according to Herbert, a smart in- “We formed an Advanced Composites work- vestment. “If Utah were a stock, I’d say buy.” BU ing group a few years ago to address the indus- try’s needs,” says Harter. “Companies told us to do three things: focus on workforce, R&D and 44 Utah Governor’s office of economic Development
    • www.bUsiness.Utah.Gov 45
    • FroM SPArkS to FLAMeS result of paying incentives is money we wouldn’t have otherwise had,” he says. “If we bring in $100 million in new tax revenue and give back 25 percent, that’s a good deal for Utah.” Post Performance beFore IncentIveS: buSIneSS FundAMentALS Incentives Fuel growth Utah is in the enviable position of not needing to rely heavily on large financial incentives in order to attract top-notch organizations to the By Mark Dayton state. While some states offer money up front to compensate for other weaknesses, Utah banks on more compelling and long-term sus- while incentives are an important part of any state’s economic tainable factors to attract top companies. development program, in Utah they play only one part in the “Incentives are never the number one rea- overall package, and are structured in a way that promotes strong son for a company choosing Utah,” says Miller. win-win partnerships and net positive tax revenues with little risk. “No amount of incentives can make up for Utah’s creative use of incentives has provided flexible options workforce, business environment and quality that are highly attractive to potential employers while meeting of life factors—strengths that always put Utah fiscal and strategic goals set out by the Governor and legislation. into consideration. Incentives can tip the scale once you are on the short list.” StrAtegIc PLAceMent Utah offers four different incentive pro- An important starting point in managing an grams, each tailored to different company incentive program is to focus on those areas needs. All are based on post-performance where incentives will make a difference. “We payouts. always test our approach to a new opportunity by saying, ‘But for the incentive, this company will not come,’” says Derek Miller, managing director of the Governor’s Office of Economic Development (GOED). “If the deal will hap- pen anyway, we don’t offer the incentive. But, if it is critical, we have a number of attractive programs we can offer.” 6 All of Utah’s incentives are structured as post-performance payouts, meaning compa- nies must first make substantial investment and commitment to a project—including pay- ing taxes—before incentives are distributed. “We don’t give out the dime until we have the dollar,” says Miller. “Our programs are very at- tractive and very competitive. But, because we give out less than we take in, we are always in a net positive position.” That is a point of confusion that often sur- rounds discussions regarding incentives, ac- cording to Miller. Many people focus on the magnitude of the dollars going out without understanding the magnitude of money and benefits that came in first and triggered the in- centive payments. “We can say with surety that every bit of revenue that came into the state as a 46 Utah Governor’s office of economic Development
    • Dave eicHMan, reCkiTT BenCkiSer Tax Incentive a Win-win for Reckitt Benckiser and Utah reCkiTT BenCkiSer is one of many world-wide companies discovering a win-win situation in the Beehive State. The global manufacturer of household products such as Lysol and woolite econoMIc deveLoPMent tAx recently broke ground on a logistics and manu- IncreMent FInAncIng (edtIF) facturing center in Tooele, Utah. This program provides not only attractive ben- before selecting tooele as the site for its efits to companies new to Utah, but options for new logistics and manufacturing center, reckitt in-state firms to help them expand. Under the benckiser worked with the Utah Governor’s of- provisions of EDTIF, a company may receive a fice of economic Development (GoeD) to deter- credit of up to 30 percent of the taxes they paid mine whether the move was a good fit for the in the previous year. This includes payroll, cor- company, and for Utah. Upon review, the GoeD porate income and sales taxes paid to the state. board awarded reckitt benckiser a $1.9 million post-production tax credit over 10 years. for Industrial Assistance Fund (IAF) Utah, the post-production incentive translated people,” says Dave eichman, U.s. warehouse Provides a cash grant for each new job cre- into a $35 million investment in the state and operations manager. “real estate, taxes, and ated in the state. Grants range from $3,000 to the creation of more than 100 high-paying jobs cost of living indices were all very encouraging. $5,000 per job and are paid out over the num- in tooele. we were impressed by the professionalism that ber of years those jobs remain in place during but the post-production tax credit incentive the Governor’s office of economic Development the life of the incentive. The program generally wasn’t the only reason the global manufacturing displayed in all our interactions—and by how in- runs incentives between 5 and 20 years. company selected tooele, Utah as the site for its terested local officials in both ogden and tooele new 600,000-square-foot logistics and manu- were in forming a partnership with us.” rural Fast track facturing center. reckitt benckiser began its site eichman says in most areas, the two Utah Initiated in 2008 to benefit rural areas of the selection process with an in-depth study that cities were equally attractive, but the decision state, this program is a variation of the IAF evaluated numerous locations. “we performed was largely a financial one. “with the help of the program specifically designed to encourage very detailed studies of the labor market, real Governor’s office and local officials in tooele, business expansion in Utah’s rural areas. It estate costs, taxation, cost of living indices and we were able to secure an incentive package provides grants of up to $50,000 for business available business incentives. we learned we that helped us decide on our final location,” says expansion and up to $1,500 for each incented would be able to staff our business with great eichman. job created, and is administered as a post- since beginning work at the new tooele lo- performance program requiring a 1:1 match of gistics center in miller business park, eichman funds by the benefiting company. It is available says reckitt benckiser has seen better results to companies who have been in business at than expected. “our experience has been even least two years and with at least two employ- better than we anticipated. we had an enthusi- ees. The program is based on research show- astic response to our job fairs and other hiring ing that communities benefit by growing jobs activities and are very pleased with the people in small local companies and is essential to the who are now helping us get our products to con- success of rural economic development. sumers.” “No amount of incentives can make up for workforce, business environment and quality of life factors— strengths that always put Utah into consideration. Incentives can tip the scale once you are on the short list.” derek MILLer, manaGinG Director, GoeD www.bUsiness.Utah.Gov 47
    • “Legislators and taxpayers in the know are as happy with these programs as are the companies who benefit from them. As we continue to get the word out that Utah is open for business we find the numbers speak for themselves.” derek MILLer, manaGinG Director, GoeD bottoM LIne wIn-wIn So, how is the strategy working? Of 32 projects the state has competed on over the past three years, only two have gone to another state. “We have never had the highest incentive offer” says Miller. “In one of the deals we lost, anoth- er state offered more than double our incentive SPAnISh Fork cAnyon including cash up-front. We just aren’t going to do that because our incentive program is de- renewAbLe energy deveLoPMent signed to be supportable over the long-haul.” IncentIve (redI) One of those 30 successes was Disney’s downturn turnAround With Utah’s expanding presence in the highly decision to locate a digital animation office It’s important to remember that much of this visible renewable energy industry, this incen- in northern Utah. The final selection came success has been achieved in the face of a his- tive program provides benefits to encourage down to Vancouver, Singapore and Salt Lake toric economic downturn. While job creation green company growth in the state. Similar to City. “Asia was actually cheaper for them,” in Utah has been running along a plateau for the EDTIF program, REDI provides tax credits says Miller. “But Utah won on quality of labor, now, there has been a significant uptick in sala- based on incremental tax revenue for compa- quality of life and quality of doing business— ry levels—companies are paying their continu- nies involved in renewable energy generation and won the project.” The decision was simi- ing employees even more. Miller also points or maintaining of components of that process. lar for Proctor & Gamble, who is building a out that Utah’s stronger economy, relative to Qualifying companies can receive up to a 100% paper products manufacturing facility in most other states has created a unique set of refund of new state taxes associated with the northern Utah—the first such new plant for new opportunities. “We speak to people fre- project. them in more than 30 years. quently who say things like, ‘I thought I’d never leave California, but I can’t afford it anymore, so tell me about Utah,’ or others who tell us, ‘I can’t afford not to be in the West, and looking at the demographics, Utah seems ideal.’” As a consequence of the structure of Utah’s post-performance incentives, Utah has been able to avoid the major pitfalls some other states have found themselves in, like having to try and recover funds from companies that failed to keep their commit- ments. Those familiar with Utah’s incentive programs find the word incentive is music to their ears because it is a fair and sustainable state program. “Legislators and taxpayers in the know are as happy with these programs as are the companies who benefit from them,” says Miller. “As we continue to get the word out that Utah is open for business we find the numbers speak for themselves.” BU Procter & gAMbLe MAnuFActurIng FAcILIty 48 Utah Governor’s office of economic Development
    • www.bUsiness.Utah.Gov 49
    • ExpandIng The state’s efforts at developing this cli- mate began in 1982, when the Utah Legislature created the state’s first international busi- ness office. It was the byproduct of Utah citi- BordErS zens’ experiences traveling abroad for church missions, vacations or business trips. Those Utahns saw the potential for doing business internationally. That office morphed through the years into the GOED that exists today, sup- Utah Thriving as an ported by governors and legislators past and present, and continuously growing in scope International Business State and stature worldwide. “We carry, officially, the seal of the State of Utah,” Kolb says. “That is very significant in- By Tom Haraldsen ternationally. It opens doors because it makes us neutral facilitators.” Heimburger and Kolb are joined by Region- There’s an old axiom that, with regard to two parties conducting business al Director Miguel Rovira. Each has his own with one another, you can always be friendly, but you can’t be friends. area of responsibility. Heimburger focuses on Don’t tell that to anyone in the Governor’s Asia; Kolb is responsible for Europe, India, the Office of Economic Development (GOED) for Middle East and Africa; and Rovira’s region is the State of Utah. The opposite is clearly the the Americas, from the southern tip of South case. America to the Arctic Circle. If one word describes the intent of GOED, Though the office works both on importing and the reason for its success in elevating and exporting, it’s the latter that draws the ma- Utah as an international business state, it’s jor emphasis. the organization’s “relationships.” Relation- ships are at the heart of everything leaders at GOED do. Relationships are what have made Utah not just a developing partner for global economic powers conducting international business, but a desired one. “On any week, our office will host ambas- sadors from around the world,” says Brett Heimburger, one of three regional directors in the office responsible for developing interna- tional trade for businesses in the state. “Every 7 week of the year, some significant government or business leader will be here. They want to do business with Utah companies.” “It’s been my experience that once del- egations come here, they realize our very pro- business environment,” adds Franz Kolb, re- gional director. “The dollar is currently so low that Europeans and Asians realize that now is the time for them to expand in the U.S. We’ve put together strategic alliances with various regions around the world, and when we go on trade missions, we’ve found that Utah is now recognized in many parts of the world for its virtues [and] hardworking people who are cul- turally sensitive to a degree and speak many languages.” 50 Utah Governor’s office of economic Development
    • Steven JohnSon, vice PreSiDenT of ASiA PAcific, Wencor Doing Business in Utah and Abroad By Linda T. Kennedy Think of Wencor LLc as a Pep Boys for the “Our office is committed to promoting in- aviation industry. Since 1955, Wencor has pro- ternational trade,” says Kolb. “Our mission is vided brand-name aircraft parts to repair sta- primarily export, because when we export, we tions, operators of general aviation aircraft and provide employment to local citizens.” Heim- to major airlines worldwide, such as Delta, Goo- burger echoes that sentiment, saying that as drich and honeywell. exports grow, companies grow and more jobs “when you buy a car, if you are going to get are created. “And creating jobs is what this of- a repair done or buy something for your car, you fice is all about,” he says. can go back to the dealership that manufactured Their regions may be different, the lan- it, and they can put the [brand name] part in, or guages spoken in them unique, but all share a you can go to another garage down the street common denominator: building relationships. and they will probably put in a pep boys part, Kolb credits the 2002 Salt Lake Olympic Win- and either one works,” explains steven Johnson, ter Games with making “a big splash for us” in- vice president of asia pacific for wencor. “it’s “through that particular [trade mission], ternationally. just a matter of what people prefer. even though wencor then went on to Japan and malay- “We opened up our state and we said, ‘The we follow the same faa regulations as the origi- sia, and with each of these trade trips that we world is welcome here,’” he says. “Well, those nal equipment manufacturer (oem) does, such participated in, GoeD was involved in setting who came soon found out they were, and very as boeing, it’s cheaper.” up meetings for us, and helped bridge govern- much still are, welcome here. They are not only wencor’s headquarters are in springville, mental gaps,” says Johnson. “we wanted to find checking us out, but they’re finding this very Utah, but the company has locations throughout people in our industry, so they helped set up friendly, proactive feeling about us doing busi- the country. and when the company wanted to meetings with airlines in our industry and with ness and they find it very refreshing.” expand into the asian market, GoeD served as chinese government officials affiliated with the Rovira agrees on the importance of devel- wencor’s round-trip ticket to building business aviation industry.” oping those bonds. relationships there. Johnson says since then, wencor has had “The key to success in the Latin culture wencor’s relationship with GoeD started a number of opportunities to participate in ad- is the personal relationship,” he says. “That about 3 years ago when former Governor Jon ditional trade missions with the Governor and comes before you should present a business huntsman attended an international trade Utah’s trade representatives. the relationship card.” All three directors are multi-lingual, able meeting in china. he looked for various com- has contributed to a 40 percent growth for wen- to speak “cultural languages—really commu- panies in Utah that wanted to participate, and cor as a company, growing 16 percent in the asia nicating with them and not just voicing a few wencor was on board. pacific market alone last year. that’s significant key words,” Kolb says. And each of these direc- growth in a down economy, says Johnson. tors is aided by representatives in many of the “GoeD helped us establish relationships with countries in their regions—natives who know key people and key agencies and are a vital link the cultures, both business and personal. to us building our business in asia,” says John- One such example of how effective those son. “it’s been helpful to know there is someone local reps can be on the import side of the equa- we can go to.” tion is told by Don Christophersen, director of production for Farmington-based Quantronix. The advanced solid state laser manufacturer sent representatives to Mexico in search of a foundry for supply. “We’ve put together strategic alliances with various regions around the world, and when we go on trade missions, we’ve found that Utah is now recognized in many parts of the world for its virtues [and] hardworking people who are culturally sensitive to a degree and speak many languages.” Franz KolB, reGional Director of GoeD www.bUsiness.Utah.Gov 51
    • “We made that first trip on our own, and it Rovira points to the free-trade agreements ation of the World Trade Center Utah (WT- was a huge waste of time,” he says. “Then we the U.S. has with 17 nations, 10 of which are in CUT). “World Trade Center Utah has deeply turned to [GOED] and they introduced us to Latin America. appreciated our partnership with the State, Guadalupe Escalante, their representative in “Utah companies are now actively do- and the combined ability to work together Mexico, and she was amazing. She did all the ing business in more than half of Mexico’s with all Utahns in fostering a global environ- homework, found prequalified companies, 32 states,” he said. “All of the trade numbers ment has made a positive and demonstrable and saved us an incredible amount of time and point very positively in our direction from the impact on our growing international trade money. Four of the five companies we met with Americas. Those free trade agreements have in Utah,” says Lew Cramer, CEO, WTCUT. on our second trip with Guadalupe were per- leveled the playing field and are a catalyst into “The World Trade Center Utah has worked fect matches.” our economy.” closely with GOED and our other strategic As a result, Quantronix can now place A look at the numbers shows the impact on partners in helping the Governor promote quarterly orders with its Mexican suppliers, Utah for international business. Exporting of international trade and economic develop- compared to a once-yearly order with suppli- goods and services from Utah reached $14.5 ment, which is fulfilling Utah’s 2002 Olym- ers in Asia where freight needed to be shipped billion in 2008, a 71 percent increase from pic Winter Games promise, ‘The World Is overseas via containers. numbers just three years earlier. Over the past Welcome Here,” says Craig Peterson, director So which of their three regions is more four years, exports to the United Kingdom ac- of International Trade and Diplomacy.” important to Utah? Each director has his own counted for over 30 percent of the state’s total. Another feature working in Utah’s favor is story to tell. Canada was 11.66 percent, China 9.88 percent, its location in “middle America.” With excel- “Utah companies are now actively doing business in more than half of Mexico’s 32 states. All the trade numbers point very positively in our direction from the Americas. Those free trade agreements have leveled the playing field and are a catalyst into our economy.” MIgUEl rovIra, Director of international Development & Diplomacy office “Europe has been, historically, one of the and exports to Japan, Switzerland and Belgium lent transportation channels and moderate biggest international investors in Utah,” Kolb accounted for at least 5 percent apiece. Cat- cost of living, the state is attracting global of- said proudly. “We have tens of thousands of egories of goods exported included electronics, fices and headquarters. people working in this state because of the chemicals, precious metals, medical equip- “It’s one thing to be on the east coast, and commitment of European companies that ment, industrial machinery and automotive it’s another thing to consolidate everything have come over here.” parts. In 2008, Utah exports accounted for 16.2 here in Utah,” Kolb says. He points to Amer He cites Rio Tinto, parent company of Ken- percent of the state’s GDP, compared to just Sports, the Finnish company that now has necott, as an example, as well as Dutch pension 10.9 percent in 2005. And in terms of job cre- a division in Ogden, located in the former fund companies that have invested hundreds ation, estimates from 2006 (the last year the American Can Company building. The sales of millions of dollars in mining in southern results were collected) show that more than a function for Amer brands like Salomon, Utah. quarter million jobs were supported in Utah by Atomic and Suunto are headquartered there, Heimburger touts Asia as “one of the fast- international trade. and Amer also owns the Wilson and Precor est areas of growth for Utah exports in past In December of 2009, Boston-based IHS sporting good brands. four years, and an even more significant part of Global Insight, an economic forecasting com- “Amer found an employment base that the future world economy.” pany with 25 offices in 14 countries, said Utah is productive and speaks many languages, Since 2004, exports from Utah to Asia have will become one of the top 10 states bouncing has an international orientation, and came increased 140 percent. That includes not just back from the economic downturn in terms of to a state that hosts two international trade products, but also services such as consulting, new-job creation. The firm projected Utah’s shows,” Kolb says. “So it’s a win-win for legal services, insurance and banking educa- annual employment rate will grow 1.62 percent them.” tion, royalties and licensing fees. In “Emerging per year. GOED leaders attribute those esti- “A lot of foreign companies have scoured Asia,” which includes all Asian countries other mates to the continual growth of Utah’s export the coasts for years to find good business op- than Japan (“They are a more mature economy industry. portunities,” Heimburger adds. “Now they’re where growth is slower and more measured,” “Our office has the seal of the state, and that realizing that a lot of hidden gems are the he says), growth is expected to increase by 5 means so much outside the U.S.,” Heimburger companies inland, especially Utah. Ones they percent this year during a time when the econ- says. “We lend credibility and legitimacy to can invest in, and partner with, to round out omies of the rest of the G7 nations are pre- Utah companies and their efforts to forge their own portfolios.” dicted to retract. But the real story is that over partnerships, as well as to solicit investment And if in international business the world the next 3 decades, Asian growth is expected to dollars to Utah. That’s something that only a is a company’s oyster, they’re quickly finding explode. It is widely predicted that Asia may government agency can do.” out that Utah is their pearl. BU comprise 60 to 70 percent of the world’s aggre- In fact, GOED, working with Utah’s busi- gate GDP by 2040. ness leaders, was the key impetus for the cre- 52 Utah Governor’s office of economic Development
    • GETTING HERE ISN’T HARD, deciding to leave might be. The Salt Lake City International Airport is a gateway to seven ski resorts, 42 state parks, five national parks and 24 golf courses. Steeped in history, downtown Salt Lake City is just 10 minutes away and is known for incredible scenic beauty and proximity to the mountains. The airport is a large hub for Delta Air Lines and, along with seven other major airlines, they provide over 700 daily flights including non-stop service to 89 cities. Delta Air Lines now offers non-stop service from Salt Lake City to Paris, France. Ranked first in the United States for on-time performance in 2008, it is an efficient airport for connections that quickly put you into the heart of the American West. www.bUsiness.Utah.Gov 53
    • a hEalThy mally introduced the Utah Health Exchange, a Web-based insurance portal designed to pro- vide consumers with the necessary tools for making educated health care decisions. While it may look like just another online shopping STaTE tool, the Exchange is an important piece of a much larger vision for health care reform in Utah. ChangIng ThE paradIgM Utah leads the Way According to Cheryl Smith, strategic plan development manager at the state’s Office of in health Care Consumer Health Services, the Exchange will make it possible for more small businesses to offer health insurance coverage to their em- By Spencer Sutherland ployees. “We want to see realigned incentives, properly placed competition and increased ef- ficiency in the market,” says Smith. “We would There’s no need to worry about the entrepreneurial spirit in the like to see fewer employers dropping coverage Beehive State. The U.S. Small Business Administration reports that and more employers offering coverage to em- Utah was home to nearly 60,000 small employers in 2006 and that ployees.” Though these seem like lofty goals, if number now hovers around an estimated 80,000. Though a rise in the Exchange is successful, it could drastically the number of small employers is good for the state’s economy, a change the insurance experience for small em- related number is quite troublesome—half of those employers do ployers in Utah. not offer health coverage to their employees. Fortunately, long before national health re- hEalTh CarE Food CoUrT form was daily front page material, Utah leg- Many small employers are familiar with the islators began taking significant steps toward idea of a cafeteria plan—employees are al- improving access to health insurance for small lowed to use pre-tax paycheck dollars to pay employers. After passing a series of new bills for things like health insurance, life insurance since early 2008, the state is now ready to put or day care. The term “cafeteria” is fitting, as the first phase of its health plan into action. plans offer some choice but only from an ex- In the third quarter of 2010, the state for- tremely limited menu. Employers still decide 8 54 Utah Governor’s office of economic Development
    • Dr. Steve neeleman, ceo heALTheqUiTy, inc. Moving Health Care Forward By Candace M. Little The coST of heALTh cAre is a national con- cern, but the State of Utah is moving forward with its own plan for health care reform. Dr. Steve neeleman, ceo of healthequity, inc. says “Many states are waiting to see what Washing- ton D.c. will do regarding health care reform. Utah has decided to be proactive and map out a strategy that will determine what healthcare reform will look like for Utah.” which insurance carrier is used and what plans one of the newest systems in place for are offered. health care reform is the Utah health exchange. The Exchange is more like a health care food neeleman is involved with this system, as heal- court. The employer determines how much to thequity provides payment and processing solu- contribute toward the employee’s health cov- tions to the exchange. he says the program is an erage, but each employee has the freedom to advantage to the state in a number of ways. select the carrier and plan of his or her choice. #1. for small business owners and other There are currently three insurance carriers employers, it is a way to manage the costs of participating in the Exchange: Humana, Re- providing employee health benefits through a gence and SelectHealth. Each offers a number defined contribution model. of plan designs and provider network options. #2. it is an option through which employers #3. it provides choice to employees over “Employees can choose from 67 differ- who cannot afford to provide health benefits which health plan and which insurance product ent plan designs, whereas [outside of the Ex- today will be able to in the future through a de- best fits their own personal needs. change] a typical small employer employee fined contribution approach #4. employees have the security in knowing may be able to choose from one to two plans at that the insurance plans offered in the exchange the most,” says Steve Neeleman, CEO of Heal- are “guarantee-issue,” which means, unlike the thEquity, the Exchange’s banking vendor. individual market, people cannot be denied cov- “[The Exchange] allows the employer to get erage for pre-existing conditions. out of the business of guessing what their em- #5. finally, the options provided to employ- ployees want,” Neeleman says. “If you have 10 ers and employees in the exchange are sold as people in a room and ask what they want in a part of a section 125 cafeteria plan, which re- health plan, you’ll get 10 different answers. duces the overall tax burden of the employer and the employee. SIMplIFyIng ThE proCESS neelman says combining the Utah health The state is not only hoping to simply the pro- exchange approach along with the current con- cess for the consumer, but for insurance car- sumer-directed health care movement, people riers as well. The Exchange’s underwriting will have more tax-advantaged health account procedures have been designed to reduce the options than ever before. “Utah is making health duplication of carriers’ efforts, with the end care reform happen and not waiting for health goal of driving down administrative costs. care reform to happen to us,” neeleman says. “Typically, when you underwrite a small group, you have to look at the health status of every employee in order to determine the risk rate-up for the entire group,” explains Sean “One of the great advantages of the Exchange is the Dunroe, marketing director at SelectHealth. transparency it provides. Transparency ensures “In the Exchange, rather than having each carrier go through the administrative work that carriers are as competitive as they can be.” of underwriting a group, there will be a pri- SEan dUnroE, marketinG Director, selecthealth mary and secondary carrier who underwrites the group. If there is a large variation in the group’s risk rate-up, a third underwriter would be involved.” www.bUsiness.Utah.Gov 55
    • InCrEaSIng CoMpETITIon “One of the great advantages of the Exchange is the transparency it provides,” Dunroe says. “Transparency ensures that carriers are as competitive as they can be.” Within the Ex- change, each carrier’s benefits, provider net- works, facilities and prices are reported in the same manner, making it easier for consumers to choose between them. Though price is usually the biggest factor when choosing a plan, the Exchange also helps consumers make decisions based on less overt factors. The Exchange publishes customer ser- vice data such as speed and accuracy of claims payment. ThE ChangIng rolE oF ThE BroKEr The Exchange isn’t just changing how employ- ers and employees purchase insurance; it’s also redefining the role of the broker. “From a broker’s perspective, it’s definitely UnIvErSITy oF UTah hoSpITal EnTranCE going to be a different way of doing business,” says Dave Jackson, managing partner at First West Benefit Solution. Historically, brokers “How it works now is that the commis- have worked closely with the employer to shop sion is a percentage of the premium,” Smith for plans that will meet the needs of the group. explains. “The incentive for the broker has not Now that the Exchange allows consumers to been for the broker to choose a plan that works see plans and prices side by side without re- best for the employer or the employee; it’s been questing a quote from each individual carrier, to choose the plan where they receive the high- is there still a need for a broker? est commission. That’s a misaligned incen- “Insurance is incredibly complex,” Jackson tive.” says. “Even with the technology, and as the Ex- House Bill 188 requires that brokers now There were several reasons for the low pur- change continues to mature, no one at the table disclose to their clients that they receive com- chase rate, Neeleman says. Many of the groups is saying they don’t see a need for brokers.” missions, both for plans sold within the Ex- were simply checking out the site, without In fact, Jackson thinks the opposite is true. change and outside of it. The bill, however, does much intention to make a switch. Others, how- “In many ways, the broker’s role is expand- not require brokers to disclose the specific de- ever, had trouble getting through the under- ing,” he says. “We still need to make sure the tails of those commission arrangements. writing process. employer has what he needs and understands “The reality is that the broker commission “If you stay with your current carrier and what the costs are going to be. But we [now] is a small part of the cost of the insurance pre- renew, you don’t have to go through under- have an additional role to treat the employees mium,” Jackson says. “But with that cost, a ser- writing. Everyone in the Exchange has to go as more of our customer, whereas before a bro- vice and value is provided to earn that commis- through underwriting,” Neeleman explains. ker perceived the employer as the customer.” sion. One thing that House Bill 188 has done is Despite all of the advantages of the Exchange, In addition, brokers will keep an eye on rates create more transparency. Some brokers won’t price was still a major factor. “When it came outside of the Exchange and support employ- care for that, but those who provide service and right down to it, the price wasn’t there for some ees shopping within the Exchange, explaining true value to their client shouldn’t be scared of groups, and that caused them to leave,” Neele- options and giving employees the confidence transparency. Their work justifies their com- man says. they need to make the best decisions, Jackson pensation.” Even with a rocky start, Neeleman feels con- says. Though the official launch of the Exchange fident that the Exchange will result in positive Brokers assisting groups and individuals to is right around the corner, beta testing on the change. “The ultimate measure of success will navigate the Exchange will continue to receive site began in August 2009. The state invited not necessarily be determined by numbers, but a commission for their service. However, it will 150 groups to shop for insurance on the Ex- by benefit,” he says. “If we have employers that be a flat rate, regardless of the type of plan pur- change, but only around 20 ended up purchas- are currently losing their insurance, or who don’t chased. Cheryl Smith says this is a more appro- ing a plan. “We can do a lot better, that’s for have insurance, who come into the Exchange priate arrangement than currently exists in the sure,” Neeleman says of the soft launch. “We’re and are able to get more people insured—I think open market. going to work out some bugs.” it’s a winner,” says Neelaman. BU 56 Utah Governor’s office of economic Development
    • Y  who’s first on our list. www.bUsiness.Utah.Gov 57
    • a STar In commercials have now called Utah their pro- duction home. Other popular films such as “Galaxy Quest,” “Dumb & Dumber,” “The Sand Lot,” and “In- diana Jones and the Last Crusade” were all ThE MaKIng filmed in Utah. The Disney Channel has also chosen Utah time and time again for its movies including “Dadnapped,” “Hatching Pete,” “Buf- falo Dreams” and “Minute Men,” just to name a few. Utah a leading light Satisfying the creative palette for many filmmakers, Utah’s film industry continues to in Film production grow and flourish. So what is it about Utah that makes it so desirable? Here’s the scoop. By Hilary Ingoldsby Whitesides ShoW ME ThE MonEy With growing economic concerns for filmmak- ers, many states adopted incentive programs What do “high School Musical,” “Butch cassidy and the Sundance around 2004 to become more competitive and kid” and “The World’s fastest indian” all have in common? What Utah was on the cutting edge. about the Academy Award-winning “Thelma and Louise” and cult What started as a 10 percent post-perfor- classics like “Better off Dead” and “footloose”? Aside from being mance cash rebate is now a 20 percent post- wildly popular movies, each was filmed in Utah. performance rebate of up to $500,000 per What started out as the perfect backdrop project on films with in-state budgets of more for John Wayne and John Ford Westerns has than $1 million. Films with larger budgets grown into a robust and competitive film in- can qualify for a 20 percent fully refundable dustry. Reaching a crescendo of sorts in the tax credit that has no per project cap. Both re- 1990s with nine seasons of the television se- bates require a minimum of $1 million spend in ries “Touched by an Angel,” Utah’s film indus- Utah. A project with a $2.5 million spend in the try has continued to grow and gain notoriety. state will benefit from the cash rebate, while Hundreds of movies, television episodes and projects with a greater spend of $2.5 million in 9 pICTUrEd (l To r): dIrECTor danny BoylE, govErnor gary r. hErBErT, prodUCEr John KElly and UTah FIlM CoMMISSIon dIrECTor MarShall MoorE 58 Utah Governor’s office of economic Development
    • trevor alBert ProDUcer Setting the Stage in Utah i tip my hat to the film commissioner and the film commission. if we had a situation where we were shooting and there was pretty much any problem, whether it was a neighbor who the state will benefit more from the tax credit was concerned or a noise issue, marshall moore rebate, because there is no per project cap. would jump in his car and he was there to facili- Incentives are rewarded after an appli- tate whatever we needed pretty quickly. cation process and are available to in-state and out-of-state filmmakers. The application BU: What is the future for Utah’s film industry? requires a script, project details, budget and alBErT: in the last year there have been ques- filmmaker profile. Applications are reviewed tions about some states’ tax incentives not monthly by the Motion Picture Associa- fiLM ProDUcer Trevor Albert recently filmed actually being beneficial for those states and tion Committee (MPAC) and incentives are “Waiting for forever” in Salt Lake city. Albert is they’ve gone perhaps too far in offering incen- awarded based on meeting the criteria and known for his work on “Because of Winn Dixie” tives for filmmakers to the detriment of the available funds. All incentives are given post- and “Groundhog Day”, to name a few. state. it seems like Utah has done a very good production once the movie is made and the job, consistent with Utah’s economic conserva- criteria met, Director of the Utah Film Com- BU: Tell us about your experience of filming in tism, of not being excessively generous with the mission Marshall Moore says. Utah? incentives, but assuring that the benefits of film- “We’ve created a program that is good for alBErT: i’ve shot movies all over the world makers and spending money in Utah is actually the state and good for the filmmaker,” Moore and the depth of knowledge that the Utah crew a benefit to the people of Utah. says. had was very impressive to me. certainly at the i can’t really look into a crystal ball and say “The World’s Fastest Indian,” starring An- outset and now having finished the movie i tell what the Utah film industry’s future is. however, thony Hopkins, was the first movie to receive people when they ask it was one of the best ex- if i could shoot all my movies in Utah, i’d be a an incentive in 2005. Since then, an estimated periences i’ve ever had filming a movie. happy man. 46 movies have used the incentive program in Utah. In 2008, 12 movies filmed in Utah took BU: What resources in Utah were particularly part in the incentive program and this year 13 beneficial for you? projects are in the works. Moore calls Utah’s alBErT: the infrastructure of Utah makes it incentive program “very competitive” and easy to get around in Utah. we come from l.a. feels like Utah has a winning combination of where to get to one end of the town to the other attributes making it the perfect place for mov- can take an hour and a half. in Utah it was ef- ies to be filmed. fortless, it’s easy to get around, there’s not traffic and it comes back to the civilized nature of your SETTIng ThE STagE fine state. Of course it’s not just the incentive program – although it’s incredibly appealing – that brings filmmakers to Utah. According to Moore, Utah’s film-ready infrastructure is unmatched. “We’ve created a program that is good for the state and good for the filmmaker.” MarShall MoorE, Director, Utah film commission “WaITIng For ForEvEr” www.bUsiness.Utah.Gov 59
    • ability to attract major movie studios such as Paramount, Warner Brothers, Fox, Sony, Dis- ney etc. with the new tax credit incentive. The family movie “Snowmen” will be re- leased in 2010, as will the thriller “Frozen” which was named as a 2010 official Sundance Film Festival selection. Both films were at- tracted to Utah because of the incentive pro- “SnoWMEn” gram coupled with the state’s filming-ready infrastructure. Disney is also looking to Utah “What’s great about the Utah incentive is active – located in downtown Salt Lake. for the fourth installment of its mega-hit “High that we combine it with an established work- You can’t forget the incredible landscape. School Musical” as well as the Disney Channel force,” Moore says. Where else in the world can you find the arch- original movie “Den Brother.” With available film crews, production com- es and red rock of Southern Utah, the Bonn- Whether it is Utah’s incentive programs, panies, two equipment rental houses and a eville salt flats (Utah’s most requested filming the myriad of unique locations or talented “plethora of available talent,” Moore says Utah destination and a filming location for por- crew base, the Beehive State is a premier set- is a financially smart choice for filmmakers tions of “Pirates of the Caribbean: At World’s ting for film production. Any way you look at it, looking to keep their costs down. Another ad- End”), deserts and world-class ski resorts all Utah has the benefits, structure and backdrop vantage is Salt Lake’s proximity to Los Angeles. in the same state? And don’t forget the Utah for a successful film industry. BU “A lot of productions come to Salt Lake City schools, quaint towns or airport terminals because they can base out of here and shoot that can also be seen in numerous films and in Salt Lake or at locations within an hour of television spots. The location diversity is un- the city. And the proximity of Salt Lake to Los paralleled and has drawn filmmakers to Utah Angeles makes it appealing as well, because it’s for decades, Moore says. only a quick flight to L.A.,” Moore says. Unique landscapes and a diversity of loca- Successful film programs at BYU, the Uni- tions make Utah a very desirable destination versity of Utah and UVU have been instru- for filmmakers. “There’s nothing else like it,” mental in creating a talented crew base that Moore says. “In terms of what we offer, there is can’t be found in many other states. Producers, no reasonable competition.” directors, production managers, photogra- phers, videographers, actors and more can all CoMIng aTTraCTIonS be found locally. Utah is the chosen filming location for many Post-production and editing studios are movies currently in production. Disney’s “John also abound in Utah including Savage Pictures, Carter of Mars” is a highly anticipated major Kaleidoscope Pictures, Metropolis Integrated motion picture based on a series of novels and Media and Sandman Studios. As digital media is slated for a 2012 release. Utah provides the and animation become increasingly important perfect background for the movie which calls to the film industry, Utah is at the top of the list for “other worldly” landscapes, Moore says. with Fall Line Studio and Avalanche Software The film marks an important milestone for the – both development studios for Disney Inter- film industry in Utah, as it signifies the state’s “FrozEn” 60 Utah Governor’s office of economic Development
    • Sandy City Economic Development 801-568-7159 www.bUsiness.Utah.Gov 61
    • JournEyS of agency of the Governor’s Office of Economic Development. DiScovEry The number of visitors to Utah has grown and von der Esch credits that largely to the state and our partners agressive ad campaigns. Utah’s visitation grew from 17.5 million in 2004—before the “Life Elevated” brand was Elevating the Economy launched—to 19.4 million in 2009, according to the recently released Economic Report to the Governor. Last year, visitation to Utah’s five and the Soul national parks was up 5.8 percent and visits to the state’s 43 state parks rose 4.7 percent. These visitors play a vital role in Utah’s By Alex Koritz and Heather Stewart economy. Utah was among the top 10 states to see spending increases by travelers. Ac- The essence of travel is adventure and discovery, and that essence cording to the latest information from the U.S. is perfectly captured by Utah’s catch phrase, “Life Elevated.” A vaca- Travel Association, Utah’s traveler spending tion in Utah can be a heightened experience that opens one’s eyes increased by 8.2 percent during the 2006-2007 to the hidden wonders of the world. From newly discovered dino- season. Estimated total traveler spending has saur fossils to an exquisite symphony performance, or from extreme also showed an increase rising from 5.6 billion mountain adventures to the rare beauty of desert canyons, a journey in 2004 to $6.9 billion in 2008. through Utah is a journey that will elevate and refresh the spirit. “Utah tourism pumps more than $6 billion into the economy and provides $700 in tax re- Dramatic Growth lief for each family in the state. Tourism sup- The state’s brand, Utah “Life Elevated,” was ports more than 110,000 Utah citizens with launched in April 2006 to capture the feeling jobs,” says von der Esch. of awe the state inspires in its visitors as they The strength of Utah’s tourism industry explore the tremendous variety of Utah’s nat- has not gone unnoticed by businesses and in- ural and cultural treasures. vestors, particularly in the hotel and resort in- “The ‘Life Elevated’ brand and its related dustry. “In a down economy, we have had four advertising have been extremely well received world-class branded properties choose Utah, out of state,” says Leigh von der Esch, manag- clearly showing that Utah is a destination on ing director of the Utah Office of Tourism, an the rise,” says von der Esch. 10 thE Dakota mountain LoDGE 62 Utah Governor’s office of economic Development
    • Roody Rasmussen, PrEsidEnT And CEO, PETzL AmEriCA, inC. Working Hard and Playing Hard in Utah By Lindsey Hannay The multi million dollar St. Regis Deer Crest Resort recently opened in Deer Valley. The Dakota Mountain Lodge, part of the Wal- dorf Astoria Collection, and Escala Lodges are new properties at The Canyons in Park City. The city will also boast a Montage Deer Valley later in 2010. And in Southern Utah, the Lake Powell area is home to Amangiri, one of only two Aman re- sorts in North America. “These companies chose Utah because of its dynamic product, visitor growth, and per- haps more importantly, the vital commitment AFTEr visiTing UTAh for the Outdoor retailer of state government to promote tourism state- show, roody rasmussen knew that Utah was wide,” von der Esch says. the perfect place to grow Petzl America, an in- ternational sporting equipment company. “Utah people who are passionate about their jobs. “in an outDoor LEGacy is centrally located with convenient shipping Utah, working for an outdoor company, there is a “Utah is fabulous for little road trips,” says and transportation terminals, excellent com- blur between vocation and avocation. Utah’s wild von der Esch. “Our national parks are not too mercial infrastructure, a state government that lands provide the infrastructure for the products far from each other—you can see all of them encourages the development of the outdoor that we sell. whether it be canyoneering in Zion, within a week.” industry, and a workforce that is passionate ice climbing in provo canyon or rock climbing in National and state parks offer a great value about outdoor recreation and the Petzl brand,” the cottonwoods, it is all pretty close to home. to budget-conscious families. And the parks says rasmussen, CEO of Clearfield, Utah-based Utah provides the right sense of place for our are complemented by free community events Petzl America. company and our employees—a perfect fit.” all year long, from festivals to rodeos. “Utah has the company, which was originally founded During petzl’s 11 years in Utah, the company’s so many little gems,” says von der Esch. “One in paris during the 1970s, moved to Utah more sales have tripled. “even during the 2009 reces- hidden gem is Davis County’s Antelope Island. than 10 years ago. rasmussen says the deci- sion, our sales continued to grow,” rasmus- The island presents some of the finest wildlife sion to bring the business to the state was easy. sen says. petzl has collaborated with the Utah viewing in the country, including eagles, big Utah’s outdoor lifestyle provides the backdrop for office of tourism on several different occasions horn sheep, bison and antelope.” a successful business in outdoor recreation and for joint media events. rasmussen says that “it The state is also world-renowned for its tourism because it’s the perfect setting for the has been a symbiotic relationship where we help winter sports and its lasting legacy of Olym- build Utah’s brand and Utah helps build the petzl pic venues. For three years in a row, Ski maga- brand. for a climbing company, ‘life elevated’ is zine has ranked Deer Valley the No. 1 resort a great moniker for our home state.” in North America. Outside magazine recently named Alta-Snowbird the No. 1 ski destination in North America for the 2008-09 season. But the magnificent outdoor environment has drawn more than tourists—many compa- “Utah tourism pumps more than $6 billion into the nies that manufacture and sell outdoor prod- ucts have discovered the state’s natural riches. economy and provides $700 in tax relief for each Indeed, Utah has seen a recent influx of family in the state. And tourism supports more outdoor companies, including Salomon, Atom- ic, Rossignol, Quality Bicycle Products, and than 110 thousand Utah citizens with jobs.” Ortovox. The state is also home to many long- LEiGh von DEr ESch standing companies like Reynolds Wheels, Petzl, Lizard Skins and Black Diamond. These companies are particularly attracted to the Beehive State because Utah is blessed www.bUsiness.Utah.Gov 63
    • Temple Square, which includes the Salt Lake Temple, the Tabernacle and the Family His- tory Library. Just outside the downtown area is the beautiful gothic-style Cathedral of the Madeleine, which just celebrated its centen- nial anniversary. Utah’s American Indian tribes also repre- sent a large part of the state’s history. The state is a web of sacred destinations, dwelling sites and fascinating rock art. Utah has five major tribes with strong cultural legacies that con- tinue to flourish: Ute, Dine’ (Navajo), Paiute, Goshute and Shoshoni. DEEr vaLLEy a BriGht futurE with some of the world’s most beautiful and All these venues are located within a pedes- Travelers from around the world continue to challenging terrain. Salt Lake City alone offers trian-friendly downtown, which is undergoing partake of Utah’s mountains and its unique, access to 11 world-class ski resorts all within a $2 billion redevelopment that will bring new red rock canyons. At Bryce Canyon National an hour’s drive—unparalleled access not found residents and new retail opportunities to the Park, the influx of tourists led to the develop- anywhere else in the world. downtown area. ment of the new Best Western Grand Hotel—a “These companies want to play with and Utah also has an active nightlife and the four-star hotel that is unique among Bryce test their products in their backyards, mak- state’s recent change in liquor laws makes Canyon’s lodging properties. ing Utah the ideal choice for product develop- it much easier for a visitor to get a drink— “We’ve definitely seen an increase in ment and warehousing operations,” says Riley although, as von der Esch pointed out, it has business since the ‘Life Elevated’ brand was Cutler, director of the Outdoor Products and always been possible for visitors to sate their launched. The money spent by the state to Recreation economic cluster in the Governor’s thirst at local establishments. “You always promote international tourism has been a real Office of Economic Development. could get a drink in Utah, but perception is re- boon to us,” says Lance Syrett, general manag- The outdoor products and recreation eco- ality,” she says. “The new liquor laws are help- er of the Best Western Grand Hotel, Ruby’s Inn nomic cluster includes manufacturing and ing to change the perception.” and Bryce View Lodge. wholesalers. The Outdoor Industry Associa- Perhaps one of the brightest cultural gems “We’re just trying to provide an enhanced tion reports that all together the industry con- in the state is Thanksgiving Point, an educa- experience to Bryce Canyon—we want to el- tributes $5.8 billion annually to Utah’s econ- tional institute for children and families. evate the guest experience,” says Syrett of omy, supports 65,000 jobs, generates nearly “The ‘Life Elevated’ brand fits exactly in the Grand Hotel, which opened in mid-2009. $300 million in annual state tax revenues, and with our philosophy of hands-on discovery “When visitors come here, they’ve often seen produces nearly $4 billion in annual retail sales and learning by doing,” says Mike Washburn, the Grand Canyon, and while they say the and services—accounting for almost 5 percent CEO of Thanksgiving Point. “Everything we Grand Canyon is big, Bryce Canyon has the of the state’s gross product. do—whether it’s the extensive gardens, or the more intricate beauty.” “Utah’s recent and current governors have Farm Country venue that teaches kids where It’s this natural beauty, complemented by the been extremely involved in the business envi- their food comes from, or the Museum of An- state’s marketing campaign, that will keep visi- ronment, unusually so,” says Cutler. “This is cient Life that lets them get hands-on with real tors pouring into Utah at unprecedented rates. very attractive to businesses as they can have fossils—we try to incorporate learning into all The economic effect on the state from visi- their voices heard and their needs addressed.” of it. We have 50,000 kids coming on field trips tors is measureable, but what isn’t as measure- each year, many of them from out of state.” able is the effect of Utah on visitors. Although cuLturE anD EntErtainmEnt Thanksgiving Point also hosts numerous one thing is for certain: they leave with their Utah is much more than a fantastic place for festivals throughout the year, from the Scot- spirits elevated. Bu an outdoor adventure. The state also has a rich tish Festival to the Wild Outdoors Festival. variety of award-winning cultural and enter- Additionally, Thanksgiving Point boasts the tainment opportunities. number one public golf course in the state. Salt Lake City specifically offers top-notch Each year 1.2 million people visit Thanksgiv- cultural venues such as Abravanel Hall, home ing Point, often making the destination one to the Utah Symphony, the Clark Planetarium, stop on a longer tour of Utah. the Salt Lake Arts Center, the Rose Wagner Per- “We definitely see ourselves as an econom- forming Arts Center, Discovery Gateway, the ic engine here in northern Utah County and Utah Museum of Fine Arts and the Utah Muse- the southern end of Salt Lake County,” says um of Natural History on the University of Utah Washburn. “Thanksgiving Point has been the campus, and the Capitol Theatre. This first-class catalyst for growth in this area.” theatre houses the Utah Opera company and The state’s cultural and entertainment of- traveling Broadway companies in a venue that is ferings are complemented by several historical slightly larger than most New York stages. sites. Utah’s most visited tourist destination is aBravanEL haLL 64 Utah Governor’s office of economic Development
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    • at thE Bay area eventually to Chicago and on east. Ogden likewise sits along I-15, with Interstate 84 feeding traffic to and from the Northwest. I-70 coming from the East ends at I-15 just north of Cedar City in Southern Utah and dis- croSSroaDS tributes traffic on south to St. George, Las Ve- gas and L.A. Add in the main line of the Union Pacific from the West Coast to points east, plus Salt Lake International Airport with its Delta hub utah’s transportation and Logistics and the ability to fly to half the population of the U.S. in 2-and-a-half hours or less, and you make Business travel Easy have a convergence of every transportation mode in a location with a large labor pool and favorable construction and utility rates. By Larry Warren an irrESiStiBLE comBination Specialized Bicycle, which just opened a dis- Pony Express riders knew it. so did overland stagecoach team- tribution center in Salt Lake, is an example of sters, railroad surveyors, highway builders and airline pilots. one company taking advantage of the local lo- since humans started walking across the American West, the gistics. “It’s a very good spot,” says Stephanie crossroads have always been what are now st. george, salt Lake Sellars, Specialized Bicycle’s human relations City and the Ogden corridor. manager. “It handles our business west of the In 2010, the three transportation hubs are on Mississippi with the airport, rail yards and all fire as locations for new warehousing, manu- of that.” She also points out that Utah is in an facturing and distribution centers. “Even in excellent place for an outdoor industry. “A lot the new economy, geography still matters,” of our employees moved here for the recre- observes Economic Development Corpora- ation,” she says. tion of Utah President Jeff Edwards. “You can Major consumers of transportation, like do stuff online, but at the end of the day it mat- Proctor & Gamble, Walmart and consumer ters where you are.” products manufacturer Reckit Benckiser Take a look at a map of the United States (with brands such as French’s mustard, Lysol and the reasons are obvious. Salt Lake sits at and Calgon) all are investing in new or expand- the intersection of Interstate 15, halfway be- ed Utah distribution centers. Reckit Benckiser tween Canada and Mexico, and Interstate 80, and Walmart are near I-80 in Tooele County, running from the ports of the San Francisco while P&G is investing $400 million in a com- 11 intErStatE 15, waShinGton county 66 Utah Governor’s office of economic Development
    • Wayne CedeRholm COO, C.r. EngLAnd Finding Success in the Crossroads of the West By Lindsey Hannay ChEsTEr EngLAnd, a farmer from Plain City, able and rational. it protects the state interests, bination manufacturing and distribution fa- Utah, founded C.r. England in 1920 to provide but understands that being business-friendly cility at Tremonton, where I-84 and I-15 con- farm-to-market service to Weber County and will enable an organization to grow their busi- verge. Cache valley. Today, 90 years later, salt Lake ness and keep Utahns in Utah.” “Having the ability to bring material in here City-based C.r. England is one of the nation’s the company is currently in its third gen- in larger quantities and breaking shipments most recognized global transportation provid- eration of family ownership, providing service down to specific orders in specific cities is the ers and refrigerated trucking company. But many throughout north america through its employ- attraction,” says Nicole Cline, Tooele County people are unaware of how the small, one-man ee and contractor base of more than 4,600 driv- Economic Development director. Before mov- operation has become one of the nation’s largest ers and 1,000-plus support staff. by 2009, c.r. ing to Utah, Reckit Benckiser distributed ev- transportation solution providers and is among england had become north america’s largest erything from the East Coast. “Having every- the top five private employers in Utah. What refrigerated trucking company with 36 differ- thing out of one eastern warehouse created started as a company operating with a single ent operations in north america, mexico, and a situation where there was no reserve at any model T truck has expanded to a fleet of more china. c.r. england is growing domestically and other location,” she adds. than 3,700 late model tractor/trailer rigs. abroad, creating opportunity for associates in Trucks are one factor in the equation be- wayne cederholm, coo of c.r. england, re- Utah and throughout the nation. sides location. The other major consideration ports that doing business in the crossroads for c.r. england is dynamic, comprising not only is the presence of Union Pacific, and its 1,700 the west has been key to building a successful sales, technology, customer service and transpor- miles of Utah trackage. transportation company. convenient access to tation, but also a finance company, school, leasing U.P. spent $90 million relocating its inter- interstates means great freight movement. “we company, clinic, trailer dealership, and hotel. it is modal operations from North Beck Street in just exceeded a billion dollars if you add all rev- an industry with a lot to offer. cederholm says, Salt Lake to a new 240-acre hub at 1045 South enue together. in the next five years, we antici- “we’ve got great talent in Utah—good, honest, and 5500 West in Salt Lake. The railroad pate becoming a $2 billion organization,” says hardworking people with education and ethics. brings 10 or more unit trains from West Coast cederholm of the company’s growth in Utah. You have to hire very confident, capable people to seaports to the hub every day. Cranes offload cederholm enjoys doing business in Utah. “Utah carry on the company vision.” his business phi- containers and place them on trucks to final is business-oriented. the government is reason- losophy concerns his employee base. “You’ve got destinations, loads containers from trucks to give people some autonomy and independence and create entrepreneurs out of them, holding them accountable to their plans and projections. they are able to function independently with the “Having the ability to bring material in here in strength of a large business backing them. larger quantities and breaking shipments down to “the transportation industry is a lot more intricate than most people know,” says ceder- specific orders in specific cities is the attraction.” holm. “if you get involved in the industry, it could nicoLE cLinE, Director, tooele coUntY economic Development take you anywhere.” www.bUsiness.Utah.Gov 67
    • Utah is also home to the Salt Lake City In- ternational Airport, including a Delta Airlines hub, which moves millions of people around the world conveniently. While aviation handles only a fraction of all Utah freight, the airport puts shippers within hours of any point in the nation, Canada and Mexico. Airport officials say 22 cargo carriers, including Airborne Express, Ameriflight, DHL, Emery, FedEx, and United Parcel Service, handle approximately 550 mil- lion pounds of air cargo and mail annually. back to the trains, and reshuffle the loads to truck lines. “The I-15 corridor, plus rail service, on thE roaD to SuccESS form new unit trains heading farther east. The have made this a major freight staging area,” Targeted industry growth is occurring around intermodal hub serves as an inland seaport. says Ogden City’s business development di- Utah, including Ogden, where Mayor Matthew rector Tom Christopoulos. Ogden operates its Godfrey’s efforts to re-brand the city as a cen- thE riGht connEction own port facility at the old Ogden Depot. Many ter for outdoor clothing and equipment com- Utah is strategically located at the center of of Ogden’s complexes are manufacturing and panies are paying off. Companies like Amer Western America’s railroad network. In fact, distribution hybrids, such as Autoliv, the au- Sports, known for its Salomon and Atomic six major routes of the Union Pacific Railroad tomotive air bag manufacturer, Williams In- brands, Smith Optics, Descente and other out- converge at Wasatch Front rail yards and re- ternational, which builds gas turbine aircraft door companies have moved into the city. fueling terminals. Additionally, BNSF Railway engines, and Parker-Hannifin, which manu- Utah’s economic development offices from provides limited service to Utah via trackage factures aircraft control systems. cities to counties to the state level are all out rights over Union Pacific rail lines between Salt Lake City is home to Union Pacific trying to attract more manufacturing firms, Colorado and Northern California. Railroad’s 240-acre, $90 million state-of-the- knowing that if they get the right ones, they’ll “We’re uniquely positioned with rail ser- art intermodal facility, which is one of the larg- attract higher paying manufacturing jobs, their vice,” says Edwards. “It’s the first place east of est on the Union Pacific system and is an im- vendors, and ultimately the high wage design, California where you get all the major ports portant rail nerve center. The facility processes engineering and executive jobs. converging.” The U.P. facility also functions 10 or more trains a day as they arrive from, or The Golden Spike that united a nation was as a U.S. Customs Port of Entry. Containers of- depart to, locations such as Long Beach, Den- driven west of Ogden 14 decades ago. Today, floading from ships can skip the customs back- ver and Chicago, as well as other Union Pacific Utah remains the crossroads of the West. Bu logs on the west coast by being loaded directly to unit trains bound for Utah and Customs clearance here. “We’re uniquely positioned with rail service. With so many distributers and manufac- It’s the first place east of California where you get all turers here already or moving here in the near future, the trucking industry is burgeoning. the major ports converging.” “They rail a lot of [cargo] here where it gets JEff EDwarDS, presiDent, economic Development corporation of Utah loaded onto trucks,” points out Neil Sebring, Godfrey Trucking’s fleet manager. “Salt Lake is a good central area.” Godfrey’s one hundred trains that stop to pick up additional freight truck fleet is one of 750 trucking companies in route to other destinations. Containerized based in Utah. A total of 2,500 registered car- goods are transferred from railcars to trucks or riers provide service to the state. trucks to railcars around the clock. Because it In Ogden, what’s old is new again. The is also located near Salt Lake City’s newly acti- Ogden rail yards were bustling from the days vated Foreign Trade Zone, the city expects the of the Golden Spike clear into the 1950’s when facility will continue to grow in its importance trains diminished in the competition with as a distribution nerve center. 68 Utah Governor’s office of economic Development
    • www.bUsiness.Utah.Gov 69
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    • established restaurants all around the Wasatch Front are booming. invesTing in Tech Utah continues to grow and develop relevant WAsATch FROnT technology companies, through access to ven- ture capital, clever government leadership, and The heart universities that focus on technology and en- trepreneurialism. There are more than 5,200 information technology and life science com- panies operating in Utah that generate more than $3.4 billion in annual wages and employ of Utah more than 63,000 people, according to Silicon Slopes (www.siliconslopes.com). Tech and life sciences industries are integral to Utah’s economy. The state’s natural products and di- etary supplement industry represents almost 25 percent of the national market. By Pamela Ostermiller In the critical care and medical devices sector of the life sciences industry there have Fast FaCts been some exciting announcements from Counties: Utah’s Wasatch Front region is the heart of the state’s companies expanding and relocating to Utah. salt lake, Davis, economy. At its core is Salt Lake County, the state’s capi- Edwards Lifesciences Corporation, the num- tooele, weber, morgan tol city, the hub of government activities and financial ser- ber one heart-valve manufacturer in the world, vices. As the center of the state’s transportation infrastruc- announced that it will add approximately Major Cities: ture, with I-15 and I-80 intersecting like giant arteries, Salt 1,000 new jobs over the next 15 years to its new salt lake city (181,698) Lake County pumps industry and energy to and from Tooele, 280,000-square-foot facility in Draper. sandy (96,660) Davis, Weber and Morgan counties, all unique in their Nelson Laboratories, a top provider of mi- west Jordan (104,447) crobiology testing services for medical devices, contributions to this big body we call the state economy. west valley (123,447) As the backbone of Utah’s economy, Salt pharmaceuticals and natural products, just layton (65,514) Lake County provides almost 50 percent of completed a new 50,000-square-foot build- bountiful (44,473) ogden (82,865) the state’s jobs. As Utah entered the final quar- ing and estimates it will hire as many as 300 roy (35,672) ter of 2009, there were signs, according to the people during the next 10 years. Big-D Con- tooele (30,102) Department of Workforce Services, that the struction built the approximately $14 million fragile labor market is stabilizing. “Salt Lake building, designed by Joseph Linton Architect Per CaPita inCoMe County, job estimates indicate that, for the and Babcock Design. “This is really good news $37,479 (salt lake) industries of employment services and truck for Utah,” says Jeffery R. Nelson, president and $31,915 (Davis) transportation, the number of jobs are steady CEO of Nelson Laboratories. “During a time $30,093 (weber) and likely to increase. These industries often when a lot of companies were cutting back $24,861 (tooele) and laying people off, we were able to keep can be seen as indicators of the direction of $27,812 (morgan) overall economic activity, now signaling that our employees and build this progressive new the recession has bottomed out.” building to house our expansion. Nelson Labo- Major eMPloyers: University of Utah In general, the Utah business community, ratories has committed to our customers, our intermountain healthcare state and local leaders remain positive and employees, and to the state of Utah.” state of Utah creative, and the workforce remains driven. Discover financial services As Kent Sulser, director of community and wal-mart economic development for Davis County puts salt lake city corp. it, “We are getting set up strategically, trying to Delta airlines prepare to get better aligned so that when the Zions bank economy turns, we are ready.” hill air force base New projects, programs and events are lagoon corporation inc. taking place almost non-stop. The Downtown lifetime products Rising project (www.downtownrising.com) in Department of Defense autoliv Salt Lake City is clipping along, changing the convergys city’s horizon. And at a time when Americans browning are supposedly eating out less, new as well as holcim Us inc. The DOWnTOWn Rising PROjecT 72 Utah Governor’s office of economic Development
    • lion to assist in its relocation from Blooming- gov), now with almost 350 members, pro- ton, Minnesota. QBP, which serves more than motes Utah-produced products. Established 5,000 independent bike dealers across the U.S., to create a consumer culture of choosing Utah chose Ogden for its new distribution center products—on the shelf or the menu—the pro- so it could provide ground-based shipping to gram teaches shoppers that every dollar spent most of the Western region in two days or less, on a Utah product adds $4 to $6 to the local and will provide 50 new high paying jobs in the economy. The program, through support, first year and more in the future. District Su- promotion and networking, helps small com- perintendent, Noel R. Zabriskie, says he didn’t panies grow and actually get their products eDWARDs liFesciences find any obstacles in selling property to the into new markets. city for the QBP building. “One of the goals we One such family-owned business is Rose- Both Edwards Lifesciences and Nelson have with any purchase or sale of property is to hill Dairy in Morgan. Tim Wilkinson, with his Labs, as well as many Utah companies, were make sure it’s right for taxpayers,” he told The father and brother, has watched their small able to make such positive things happen Standard Examiner. “We are working coopera- business of processing milk for home delivery through government incentive programs, tively with the city on this development.” grow. “We started with one customer and we just one of the tools businesses can access for QBP is one of a dozen companies in the in- now have 28 routes,” he says. With 42 employ- growth and expansion. The Governor’s Office dustries of outdoor products and sports equip- ees, Rosehill is one of Morgan County’s top 10 of Economic Development (GOED), as part ment that has relocated or expanded in Utah employers. By taking advantage of Utah’s Own, of its mission to recruit companies that add over the years, including Goode, Amer Sports, Wilkinson hopes to take it further. “I just want- strategic value to the state’s economy, offers Petzl and Rossignol, to name a few. Some are ed to put ‘Utah’s Own’ on my labels because it’s post-performance refundable tax credits and lured by incentives or just by Utah’s envi- easier to sell, but I’ve just started to learn about cash grants. The money companies receive able quality of life. According to a 2009 list in more opportunities I didn’t know about.” Mor- is not giveaway cash. Receiving companies Forbes, Utah is “America’s best place to live.” gan County is being recognized as an up-and- must generate new tax revenue, create high- And while the low cost of living, low unem- coming mountain hub, and one of the state’s paying jobs, and pass other milestones before ployment and healthy business climate make fastest growing counties in the state, chang- incentives are disbursed. Nelson Labs, for its Utah appealing, insiders know it’s all about ing from a sheep-shearing valley to a bedroom $1.9 million incentive, must generate nearly the outdoors, especially the renowned red rock community, sprouting vacation homes and $10 million in new state revenue and 393 jobs. and the stellar snow. new commuters. Edwards will receive $11.5 million for its 1,000 On the western side of the Wasatch Front, promised new jobs. gROWing FORWARD around the northern curve of the Oquirrh “The incentive packages and the partner- A quick look at the numbers reveals the value Mountains lies Tooele County, a region not ship we received from the State of Utah were of tourism as a factor in Utah’s economy, es- generally know for bucking a trend, but show- very important,” Edwards Corporate Vice Pres- pecially in the Wasatch Front. From Powder ing some growth in the tough economic column ident, Paul Redmond, told KCPW. “But the Mountain to Peruvian Gulch, the ski indus- of manufacturing. “We have a lot of companies more driving factors were the successes we had try remains a huge contributor. “Despite the making impacts,” says a highly optimistic Ni- here already, the availability of talented em- downturn, there were still a lot of exciting de- cole Cline, the county’s economic develop- ployees, the establishment of a management velopments and significant improvements in ment director. “It was a good year and we are team.” Across the state, companies are making 2009,” says Jessica Kunzer, SkiUtah director of still talking to a number of businesses about a difference and seeing growth in part because communications. “Since 2002, skier days are coming here.” Allegheny Technologies, a large of their ability to take advantage of both state up 35 percent and the 2008-09 season saw the specialty metals producer, and Syracuse Cast- tax incentives and business programs offered highest skier visits on record. We also broke ing, manufacturer of cast iron and fabricated through the Governor’s Office of Economic De- the $1 billion mark on state economic impact.” access products for the construction industry, velopment (GOED), whether it is financial in- Kunzer says that in addition to the four new are two newcomers to the valley. The new- centives, business counseling, connection to luxury properties in Park City, there were de- est substantial addition is a 600,000-square- federal grants and creative programs. velopments in Salt Lake County, including foot distribution center for Reckitt Benckiser, In the northern portion of the Wasatch Re- Alta’s new Albion Basin Lodge and Solitude’s maker of Lysol, Woolite, Electrasol, French’s gion, Ogden is seeing the construction of the new Powderhorn II lift. Mustard, among other products. Once again, new 85,000-square-foot bicycle distribution And while we love our winter sports, Utah GOED incentive dollars were a major factor in facility for Quality Bicycle Products, which re- is known for making more than powder. The the decision of the company, which will bring ceived a GOED incentive package of $2.1 mil- Utah’s Own program (www.utahsown.utah. 200 new jobs to Utah. Bu “During a time when a lot of companies were cutting back and laying people off, we were able to keep our employees and build this progressive new building to house our expansion. We’ve committed to our customers, our employees, and to the State of Utah. ” jeFFeRy R. nelsOn, presiDent anD ceo of nelson laboratories www.bUsiness.Utah.Gov 73
    • physical health, healthy behaviors), Utah came out on top. No wonder Forbes magazine also recently recognized the Provo-Orem area as mOUnTAinlAnD the best place in the country to find a job. But more than that and regardless of the mixing Business roots of the seemingly relentless positive work attitude, the Mountainland saw hundreds of new businesses, access to government incen- tive programs and growth at dozens of existing companies in 2009. Each county capitalized on with Pleasure its own strengths and, coupled with energetic people who are either starting new businesses or helping others do the same, there’s much to look forward to in 2010. By Pamela Ostermiller TOURism sTill TOPs Recreation and tourism remain bright spots in Utah’s economy. In 2009, from visitation to Fast FaCts dollars spent to skier days, each county in the Counties: Mountainland contributed something to the summit, Utah, wasatch A glance at Utah’s Mountainland region and its one-of-a-kind overall economic well being of the area. recreational opportunities is enough to persuade anyone of its Summit County is humming with the ar- Major Cities: rival of four new hotels, including the previ- appeal. When a bright spring day can include skiing high moun- provo (118,581) tain snow, fishing a blue-ribbon stream or teeing off at an award- ously mentioned St. Regis Deer Crest Resort orem (93,250) winning golf course, each activity within 30 minutes of the next, and the Dakota Mountain Lodge at The Can- pleasant Grove (33,798) heber (9,830) it’s hard to believe the Mountainland is anything more than a yons. “The opening of the Dakota is the most park city (7,980) recreational paradise. But it is in fact a major business hub. significant thing to happen in the past year Forbes magazine has ranked the Provo- mainly because it is the Waldorf Astoria,” says Per CaPita inCoMe Orem metro area number two in the coun- Bill Malone, Park City Chamber/Convention $60,233 (summit) try on its list of the top 10 “U.S. cities on the & Visitors Bureau executive director. “They $21,811 (Utah) rise.” Other organizations have recognized it chose Park City based on the market.” $26,730 (wasatch) as a leading technology metro; it is home to St. Regis Deer Crest Resort executives add Brigham Young University and a host of high that they decided to build in Utah for numer- Major eMPloyers: ous reasons, including, “the easy access to the tech companies. brigham Young University But beneath the postcard quality of nearby international airport, Park City’s exposure wasatch county Park City resorts, Heber Valley meadows and school District Deer valley resort Thanksgiving Point gardens, there’s a bustling the canyons economic engine and exciting new develop- homestead resort ments in business. In fact, in some cases the Utah valley regional opportunities for recreation have been the medical center catalyst for business growth. novell Encompassing Utah, Wasatch and Summit nestles Usa counties, the Mountainland region remains prepared foods on a positive economic path, despite national economic challenges. While construction has slowed in Utah County, the Park City area of Wasatch County has just seen the opening of the new world-class St. Regis Deer Crest Re- sort. And despite the national challenges, Utah County has been recently recognized as the country’s happiest place. According to a 2009 Gallup poll, which included 350,000 respon- dents and ranked six types of well-being (over- all evaluation of their lives, emotional health, PARk ciTy 74 Utah Governor’s office of economic Development
    • during the Olympics and favorable compari- “There has been growth in the area and sons to other Western resort destinations,” other businesses have gained traction be- says Michael Hatzfeld, general manager at St. cause of the presence of Thanksgiving Point,” Regis Deer Crest Resort. Washburn says. “The new commuter rail in Malone says Summit County’s focus is to 2012, new hotels, Cabela’s—are all here be- drive visitation to world-class destinations. cause Thanksgiving Point is a destination.” “We still have all the same advantages: easy Microsoft Corp. recently opened a new re- access to three resorts, the world’s best snow search and development office in the adjacent and our proximity to the international airport business park, where it employs 100 people in makes Park City easy to reach.” high-paying programming jobs. On the hori- ThAnksgiving POinT Stephanie Nitsch, communications coordi- zon at Thanksgiving Point are two new cam- nator for the chamber, adds that Park City was puses for Mountainland Applied Technology Own, managed by the Utah Department of able to add 75 new businesses during 2009. College and Utah Valley University as well as Agriculture. Started in 2001, the program has “People here have great business savvy and widely recognized Brigham Young University. almost 350 members statewide, all businesses great ideas,” she says. “We know how to thrive The schools in combination educate well over that sell locally grown or produced products in, and capitalize on, a tourism economy.” 40,000 students. such as preserves, honey, lamb, or salsa. Pro- Two examples are Jupiter Bowl, a bowling moting Utah products is important for the alley done in Park City style with sumptuous a little HelP Goes a lonG Way economy because a dollar spent on a Utah amenities, cocktails and private party space. If you pay attention to rankings, which all product puts $4 to $6 back into local coffers. High West Distillery and Saloon is another economists and state officials do, Utah is a One extremely successful Utah’s Own compa- venture creating a buzz and packing them friendly environment for business, to put it ny and recognized corporate-community citi- in every night of the week. The world’s only mildly. Just to mention a few accolades: 1st zen is Redmond, Inc. Most people know only “ski-in, ski-out” distillery, High West still is in “Economic Dynamism” by the Kauffman one of its brands, RealSalt, but are unaware a boutique whiskey maker in a historic Park Foundation New Economy Index; 2nd Best that Redmond produces de-icing, agricultural, City building, smartly offering tasty fare and a State for Business by Forbes; 3rd in Top States industrial and health products, all mined from family-friendly atmosphere. Further down the for Business by CNBC; 1st in Inc. 500 Compa- Utah earth. mountain range in Provo Canyon, Sundance nies per capita; 3rd for Business Climate from The salt mine is in Redmond, but the com- Resort opened some of its mountain to night Business Facilities magazine. pany moved its headquarters in 2005 to Heber skiers, boosting runs for locals and destination There are numerous contributors to Utah’s City. Besides attracting new companies like skiers alike. success, but a big one is the state’s leadership Redmond, Wasatch County is working within In Utah County, one of the state’s biggest and creativity, support of small and rural busi- the community and the Mountainland Associ- tourist attractions and local destinations is nesses, and government incentives and pro- ation of Governments (MAG) to invest in and Thanksgiving Point, which logged 1.65 mil- grams on every level. support local businesses while preserving the lion visitors last year, meeting 2008 numbers. In Utah County, one company won a large valley’s peace and beauty. When it was founded in 1996, Thanksgiving federal contract in part because of the Gov- “We support the GOED’s efforts to grow Point was a bit of an island on I-15 between ernor’s Office of Economic Development local and bring in new businesses,” says Paul Salt Lake City and Provo. Before development (GOED) and the Procurement Assistance Kennard, director of Wasatch County Eco- in surrounding towns exploded, Thanksgiving Program (PTAC). Raass Brothers, a contractor nomic Development, “but we’re fairly selective Points’ gardens, dinosaur museum, business in Lehi, received help from PTAC in writing on businesses; we are careful to preserve our park and Johnny Miller Golf Course were a bit and reviewing its proposal to win a five-year, existing strengths in tourism and recreation.” isolated. Now known for immense botanical $65 million job to build and refurbish homes What is working well with the State’s effort gardens, the largest dinosaur museum in the at Dugway Proving Grounds. With R&O Con- is the Mountainland Association of Govern- world, a working farm, shops and restaurants, struction, Raass will provide hundreds of ment’s new Revolving Loan Fund (RLF). The it is the ultimate “staycation” and a worldwide new jobs. “We love the PTAC and Procure- purpose of the fund is “to create permanent, draw. But CEO Mike Washburn says it holds ment team services,” owner Stan Raass says. long-term jobs within the Mountainland re- even more significance to the county’s econ- “Without them we would not have won this gion of Utah by providing ‘gap’ and start-up omy and the business engine. Thanksgiving contract.” financing to qualified businesses for eligible Point is a tourist and business magnet. Another important state program is Utah’s activities.” Loans made through the fund are intended to bridge the gap created by short- “People here have great business savvy and great falls in commercial financing, which was the perfect solution for Hall’s Confections, a ideas. We know how to thrive in and capitalize on family-owned Heber company. Hall’s is one a tourism economy.” of five Wasatch County companies, all related to tourism and retail, which received RLFs in sTePhAnie niTsch, 2009. Randy Hall, a third generation candy- commUnications coorDinator for the chamber/bUreaU maker, says he was looking into SBA loans but www.bUsiness.Utah.Gov 75
    • knew qualifying could be a challenge, when that final curve on I-15 and cross the border he discovered the RLF program and received from Salt Lake to Utah County. Now the area $45,000 for equipment, marketing, inventory has gained world wide recognition for high Alder, adding that 46 companies are still active and working capital. “The program provided tech businesses and training. and over the last two years, 19 of the 20 compa- several resources to help me get the loan,” Hall One factor that can’t be ignored is influ- nies coming out of the BYU tech transfer office says, and now he does what he does best. “We ence and assistance from the valley’s univer- have stated in Utah. can make the world a sweeter place. Through sities. The area is home to Brigham Young Another successful tech company in the good times and bad, the snack business has al- University’s tech start-up program and Utah area is Lehi-based IM Flash, maker of the ways done well.” Valley University and its Business Resource world’s first 25-nanometer (nm) NAND tech- Center, one of three funded by the State. In nology, which provides a more cost-effective 2009, Business Week named Brigham Young path for increasing storage capacity in such University as “Brigham Young’s Entrepreneur popular consumer gadgets as smartphones, Factory” because of the number of startups, personal music and media players (PMPs), licenses and patent applications they produce as well as the new high-performance class of each year. According to the article, which cites solid-state drives (SSDs). the University Technology Managers, “BYU- Stan Lockhart, IM FLASH spokesman, licensed technology led to the creation of nine says Utah’s healthy business environment new companies last year on a research budget and skilled engineering workforce are vital to of roughly $30 million. Stanford, with a budget the company’s success. “Our Utah workforce of $1.1 billion, spawned the same number of is competing on a global stage. When you startups.” have the most advanced semi-conductor in BRighAm yOUng UniveRsiTy Mike Alder, director of BYU’s tech trans- the world right here, you know our employees fer office, says the university has a legacy of must be doing something outstanding,” says TiTAns OF Tech producing tech companies. “Since we started Lockhart. “[Utah has] a favorable business en- Utah County and innovation, in technology keeping track in 1984, 82 start-up technol- vironment, world-class high quality engineers and nutritional sciences, have almost become ogy companies have come from the BYU Tech from BYU, the University of Utah and Utah synonymous in the past decade. A valley that Transfer office,” says Alder. “The rate of which State University, stable tax rates, and a strong thrives on entrepreneurial spirit, you can al- companies are coming out now is a lot faster— work ethic in our Utah employees are pivotal most feel the energy change when you take in 2008 we had nine; in 2010 we had 11,” says to our success.” Bu 76 Utah Governor’s office of economic Development
    • Is Your Business Ready for Disaster? READY Your Business Y A series of no-cost business continuity planning workshops www.BeReadyUtah.gov UTAH DEPARTMENT OF PUBLIC SAFETY DIVISION OF HOMELAND SECURITY READY YOUR BUSINESS WWW.BEREADYUTAH.GOV 801-538-3400
    • sOUTheAsTeRn Diamond San Juan County, admittedly, has more infrastructure challenges, but has made in- credible strides over the last few years. Having recently completed a $3.5 million fiber optics project, the county is now equipped with the in the Rough telecommunications structure many busi- nesses need, DeLorme says. And while San Juan County doesn’t have rail service, a high- way or commuter airport, you don’t have to go far to find such services. Within easy reach are Highways 70 and 191, and a regional airport. By Hilary Ingoldsby Whitesides Local businesses have long known the area is a great place for business and the outside Fast FaCts world seems to be catching on. Counties: “It’s a great place to live and it’s a better carbon, emery, Grand, place to work,” Fielding says. san Juan As rich in heritage as it is in resources, these four counties share a common goal of Is it only the urban Wasatch front that is enjoying booming Major Cities: helping local businesses grow and many are moab (5,121) business? Think again. seeing the fruits of their labors. One example blanding (3,290) Nestled in Southeastern Utah are four counties well-known is Intermountain Electronics, which has been price (8,039) on the map for their breath-taking vistas and world renowned an important player in the backbone of Carbon huntington (2,033) recreation. But for those who know Grand, Emery, Carbon and County’s economy, as well as in the interna- San Juan counties, that’s just the tip of the iceberg. These four tional mining industry. The company recently Per CaPita inCoMe counties are proving that Southeastern Utah is also a great $28,730 (carbon) expanded with a new industrial park in Emery place to grow your business. $17,170 (san Juan) County—one of the largest in the state—which Local economic development directors Mi- $23,572 (emery) will open doors for many current and new chael McCandless (Emery County), Charlie $25,852 (Grand) businesses. Emery County is also looking for- DeLorme (San Juan County), Delynn Fielding ward to the possibility of a proposed nuclear (Carbon County) and Ken Davey (Moab city) Major eMPloyers: power plant. carbon county share why Southeastern Utah is a great place In Grand County, Triassic Industries is a school District, to live and work. fast-growing company that preserves South- canyon fuels company eastern Utah heritage through wood and stone castleview hospital A Winning cOmBinATiOn designs. Grand County’s Moab Brewery is also college of eastern Utah Once considered too isolated for business, a becoming a widely known company. lisbon valley mining co. Utah’s Southeastern region is now primed for san Juan school District business growth and is eagerly inviting com- energy west panies to the area. pacificorp By glancing at a map it’s easy to see that allen memorial hospital Carbon and Emery counties have everything city market a business needs. Proximity to U.S. Highway Grand county 6 and Interstate 70 make transportation to and from both counties easy and convenient. Both counties are also rail served and share a regional airport. “Large tracks of land, water availability and the transportation provided by the railways and highways makes this area a great place for businesses,” McCandless says. mOAB BReWeRy 78 Utah Governor’s office of economic Development
    • Finally, San Juan County is home to the na- tion’s only uranium mill that, according to De- Lorme, is gaining momentum. Now with a call for more nuclear power plant construction, there may be significant growth to accommo- date potential demand. Young’s Machine Shop, which produces heavy mining equipment used all over the world, continues to be a shining star for the county and is expanding quickly. Cedar Mesa Products, which produces heritage-rich pot- tery, is another local company that continues to grow. The Governor’s Office of Economic De- velopment (GOED) is committed to local helPeR business development in Southeastern Utah. With an inventive state program that uses the that Hanna-Smith believes has allowed Car- even imagine, it’s no surprise that this neck of company’s own tax dollars instead of public bon County to avoid the cost of living increases the woods provides a lifestyle with which other funds, GOED is able to give post-production that have recently plagued so many other parts areas simply can’t compete. incentives to qualifying companies. The Ru- of the country. Carbon County is known for some of the ral Fast Track Program has rewarded many In a time where foreclosures and short most notable rock art in North America in Southeastern Utah businesses over the past sales are becoming more and more common, Nine Mile Canyon as well as famous local few years including the previously mentioned, San Juan County boasts a steady real estate dinosaur museums and two scenic byways. Ceda Mesa Products, Triassic Industries and market that sets it apart from the majority of Emery county is known as San Rafael country Intermountain Electronics. Since its incep- the rest of the nation. “Our real estate has been known for the desert backcountry of the San tion, the program has helped dozens of busi- steady. We haven’t seen the boom and bust Rafael Swell. nesses expand, improve and create new jobs cycle. The real estate continues to have a good Tourism is one of San Juan County’s stron- around rural Utah. value,” DeLorme says. gest industries, with Natural Bridges National “We have a beautiful landscape and easy access to it. We have a high quality of life we want to preserve and our job is to help people that want to live here realize that they can make a living here. We want to help those who live here make a better living.” ken DAvey, moab citY economic Development Director WeATheRing The sTORm Another hard-hit industry during the re- Monument, a portion of Lake Powell, Can- While the nation suffered one of the worst re- cession has been construction, but in Grand yonlands National Park and the red-rock rich cessions in recent history, Southeastern Utah County, specifically Moab City, the construc- Monument Valley. came through the economic turmoil with few- tion industry is thriving due to publicly funded Whether tourists come for the epic moun- er battle wounds than most areas. That can be projects including the construction of a new tain biking, views or famous film scene, Grand credited to the focus local leaders put on help- hospital, two school buildings and a new recre- County and its largest city, Moab, is a desti- ing area businesses stabilize and grow. ation center as well as work with the Utah De- nation hotspot of the Western United States. According to Fielding and McCandless, the partment of Transportation to replace a mayor Grand County also hosts Arches National coal and gas industries provide a strong foun- highway bridge over the Colorado River. Park. In fact last year, despite a tough economy, dation for Carbon and Emery counties. “Em- “The public construction projects that Arches had more visitors than ever before. ery County relies primarily on coal and power were already in the works have done a pretty But the natural beauty of Southeastern production and since coal and electricity are good job of helping alleviate what would have Utah doesn’t just bring in tourists. It’s home to always needed they have been very stable in- been a difficult situation for local construc- many businesses and people who care about a dustries,” McCandless says. tion,” Davey says. way of life, which local leaders are dedicated to Aside from a strong energy based founda- celebrating and preserving. tion, Carbon County also boasts a diversified A mAjesTic BAckDROP “We have a beautiful landscape and easy ac- economy as the area hub. “Carbon [County] has AnD A liFesTyle TO mATch cess to it. We have a high quality of life we want everything and because it is not driven by only When you talk about Southeastern Utah one to preserve and our job is to help people that one particular industry so it makes us a strong can’t help but mention the amazing travel and want to live here realize that they can make a county,” Kathy Hanna-Smith, Carbon County tourism opportunities. With more national living here,” Davey says. “We want to help those travel bureau director, says. It’s this diversity parks and monuments than most counties can who live here make a better living.” Bu www.bUsiness.Utah.Gov 79
    • Working with the county economic devel- opment office they must demonstrate how the business project will promote business and economic development in the rural county. Escalante’s BR Bowmar Company, which souThwesTeRn manufactures parts and industrial machines, has been able to buy better equipment and take not Business on bigger projects as a result of the program. Paul Bowmar’s shop used to operate on two-phase electrical power (a typical house runs on single phase power). Three-phase power, however, is used to power larger proj- as usual ects and is generally more economical. He looked into making the upgrade, but the es- timate was $18,000. GOED was able to assist him with RFTP program. Today he benefits from its grants and tax incentives. “Now I have enough electricity to hire more people By Melanie Johnson and grow my shop,” says Bowmar. “I can run bigger machines and get larger projects. Be- Fast FaCts cause my projects are bigger, I can offer more Counties: technical jobs to my workers and they can Beaver, Garfield, Iron, Several recession-inspired words have surfaced during the eco- make more than the standard Garfield County Kane, Washington nomic storm, including bailout, layoff and staycation, to name wages. It’s more like what they’d likely make a few. But for the five counties of Southwestern Utah—Beaver, in Salt Lake City.” Major Cities: Garfield, Iron, Kane and Washington—resiliency is the word to The county is off to a good start and addition- St. George (72,718) live by. And while 2009 was a trying economic year, the region al participation will only help stimulate Garfield Beaver (2,597) is making several strides toward a promising future. County’s economy and other rural areas. Panguitch (1,520) Cedar City (28,667) Building Business The RighT diRecTion Kanab (3,782) Much of Southwestern Utah’s economy re- Milford’s A&F Electric is another company Per CaPita inCoMe lies on extensive tourism-related activities. who participated in the Rural Fast Track Pro- $24,014 (Washington) Though tourism dollars have slowed, Utah has gram. Because of the post-performance and tax $27,240 (Beaver) sturdy economic development plans in place incentives, A&F could buy specialty electric $24,167 (Garfield) which benefit Southwestern Utah. One initia- equipment, tools and supplies, which aided the $21,103 (Iron) tive is the Rural Fast Track Program (RFTP) company’s business expansion. It also helped $29,663 (Kane) offered through the Governor’s Office of Eco- the company to go from working on a $20 nomic Development (GOED). Aimed at exist- million project to a $60 million project. “We Major eMPloyers: ing small companies, the program provides wouldn’t have been able to get bigger jobs with- Intermountain Health Care post-performance incentives and grants to out buying specialty tools and electrical equip- SkyWest Airlines businesses that create high-paying jobs in ru- ment. It put us in a whole different realm to be Best Friends Animal Sanctuary ral areas. able to work on bigger jobs,” says Lenn Flor- Southern Utah University Two of the five counties in the Southwest ence, manager. Additionally, Florence and his Circle Four Farms region qualify for this program, including Gar- team bought everything locally in Milford and Ruby’s Inn field and Beaver counties. In order to qualify hired additional employees to work on bigger Washington School District for the program, rural businesses must fall jobs, thus further stimulating the economy. within the following requirements: Last year’s construction of Utah’s biggest wind farm in Milford County provided tem- Be located in a county with a population porary employment opportunities and largely less than 30,000 and average household in- contributed to a year-over job growth rate of 7.3 come less than $60,000. percent. While the transportation, warehouse, Have been in business for at least two years. leisure and hospitality service industries de- Have at least two full-time employees. clined some, several industries experienced Enter into an incentive agreement with employment expansion, including mining, GOED which specifies performance mile- manufacturing, education, health, and social stones. sciences sectors. 80 UtAH GoveRnoR’S oFFICe oF eConomIC DeveloPment
    • woRking TogeTheR In Iron County, the good news is that there are indicators of an early-stage recovery from the national recession. “Looking forward, the areas in which we expect to see opportunity for Iron County are health care, renewable energy and technology,” says Brennan Wood, economic director, Iron County. With a technology focus in mind, the Southern Utah Technical Council (SUTC) was created. The group, which consists of Southern Utah high tech businesses and their associate, comes together to help other high tech busi- nesses become profitable through networking, increasing their market shares and resource development. The organization also provides a forum for companies to discuss their suc- cesses and failures. amangiRi ResoRT “A big part of education for local businesses is connecting locals in the area with those they program empowers the community and gives buster film that’s anticipated to provide world- wouldn’t otherwise have known about,” says business a voice concerning the resources and wide exposure to the state and specific areas Wood. “It gives them the opportunity to co-op, programs they want and need.” of Kane County. Currently in the works is Dis- get information and share ideas and from what ney’s “John Carter of Mars,” based on a series we’ve seen, they’re able to be more competitive seTTing The sTaTe of novels by Edgar Rice Burrows, the writer of on a national and global level.” According to Lecia Parks Langston, regional “Tarzan.” “A Disney theatre film of this caliber Iron County has the bandwidth to commu- economist with the Department of Workforce will put local industry to work and generate an nicate with anyone in the world. Because the Services, Kane County’s recession ended the estimated 200 jobs for Utah workers, which county has a fully redundant fiber optics net- third quarter of 2009. “Job losses measured will stimulate local employment,” says Mar- work it has eliminated any downtime. “When only 4 percent from September 2008-2009.” shall Moore, director, Utah Film Commission. our residents have a certain technology, they Construction slowed like the rest of the coun- Film production style will be similar to can provide that anywhere and we’ll take that try. Even with a slower construction pace in James Cameron’s “Avitar” and will include 45 to them instantly,” says Wood. “Because of the Kane County, the world renowned Amangiri days of filming in Utah, specifically in Lake Southern Utah Technology Council, we’re cre- Resort opened near Lake Powell. The resort is Powell, Big Water, Kanab, Moab, Arches, ating those technologies here locally and giv- one of only two of its kind in the country and Hanksville and Sevier County. All exterior ing room for additional high paying jobs.” the resort company is recognized as one of the filming will take place in Utah and will be visu- With a focus on current and future business finest resort products in the world. ally enhanced by animation with Utah’s land- development, the county also created the Ce- A number of industries in Kane County scape. dar Strategic Initiative (CSI). The group brings are showing signs of growth, such as the film “This builds a positive image of the region stakeholders together, including the Chamber industry. Utah will set the stage for a block- and stimulates tourism once it becomes a of Commerce, Southern Utah University Busi- movie and the film locations will become pop- ness Resource Center, the Office of Education, ular destinations for tourists,” says Moore. etc. to get an understanding from community The immediate benefit: The project pro- leaders concerning where they want to see the vides a strong economic contribution to the community go in the next five to 15 years. “The local economy. Walt Disney will hire workers and the combined crew size is anticipated to be “Looking forward, the areas in which we expect 400, most of whom will utilize hotel and food services over at least a 12-month stay. Also, an to see opportunity for Iron County are health care, anticipated $27 million will be spent on sup- renewable energy and technology. BRennan wood, eConomIC DIReCtoR, IRon CoUnty WWW.BUSIneSS.UtAH.Gov 81
    • plies and equipment in-state. “Every dollar we sT. geoRge municiPal spend will generate two-and-a-half dollars in aiRPoRT undeR return,” says Moore. consTRucTion “From start to finish, the crew will have spent about 1.5 years actively working in the state, specifically the Southwest region,” says Moore. By putting Utah on the screen, it mar- kets the filming destination and raises aware- ness of Utah’s scenic beauty. As a result, this promotes the area as a destination for all types of film production, including TV series, music videos, documentaries, commercials, studio feature films and independent feature films and in turn, benefits Utah.” The benefits of the film industry to the local economy are often unnoticed on a local level, but the effects can be felt through tax revenues and the support of Utah’s cultural resources and creative sector. So when it comes to oppor- tunity, this project is a defining moment. PRoPelling FoRwaRd The manufacturing industry was hit two-fold in Washington County; by severe construc- tion-related losses and then by the national economic downturn. The county is still re- covering, however, and unemployment rates are moderating and unemployment insurance claims are down. Washington County is moving forward with a major construction project: rebuild- ing the St. George Municipal Airport. Slated to open in 2011, the airport will enhance the area’s transportation network and allow for more commercial flights, including St. George- headquartered Sky West Airlines who is the Delta flight connector around the west. The airport is also expected to lead to in- creased employment in the area, attracting an estimated 100 companies. The terminal con- struction alone will employ nearly 300 people, most of whom are local residents. All in all, Utah’s Southwest region has con- tinued moving forward with several milestone projects. And though the area is not yet out of the woods, when it comes to recovering from an economic downturn, the region’s barometer looks bright with opportunity. Bu 200 North Main Street Salt Lake City, Utah 84103 www.mccunemansion.com For more information, please call 801-531-8866 82 UtAH GoveRnoR’S oFFICe oF eConomIC DeveloPment
    • WWW.BUSIneSS.UtAH.Gov 83
    • BeaR RiveR nuturing Business growth By Gretta Spendlove chinists, managers and the other skilled work- ers necessary to make and ship paper products to consumers throughout the West. Fast FaCts “The reason Procter & Gamble chose Counties: Box elder, Cache, Rich Northern Utah is three-fold,” says Matthew The Bear River curves gently through Northern Utah, wandering Donthnier of Procter & Gamble. “First, geo- Major Cities: 350 miles south past fields and marshes and mountains toward graphic location. It’s a great distribution point Brigham City (18,709) the Great Salt Lake. There is still stunning natural beauty in the for areas west of the Rockies. Second, the in- logan (48,657) Bear River Region, consisting of Cache, Box Elder and Rich coun- credible cooperation from state and local lead- Smithfield (9,535) ties. But the area is also on the move, with profitable companies ers. And third, the workforce and culture.” tremonton (6,470) moving in from outside Utah and percolating up from within. Donthnier praises the assistance given by “We have great diversity in types of businesses,” says Sandy the Utah Governor’s Office of Economic De- Per CaPita inCoMe velopment (GOED) in structuring state tax Emile, economic development advisor for Cache County. $26,502 (Box elder) The new Procter & Gamble plant is being incentives, introducing Procter & Gamble to $23,450 (Cache) built near Corrine, a quiet town in Box Elder local government leaders, and providing in- $27,438 (Rich) County which has less than 1,000 residents formation on technology colleges and other Major eMPloyers: today. Corrinne’s past is colorful and bustling; resources important to the company. Utah State University the city was an 1870s rail center which at one “We’re investing $300 million in the State AtK launch Systems point attempted to become the capital of Utah. of Utah,” says Donthnier, “as we build a million Icon main Plant City leaders say Corrine is on its way to bustling square foot plant to make Bounty paper towels Rich County School District again, as Procter & Gamble hires engineers, ma- and Charmin toilet tissue.” Autoliv logan Regional Hospital Convergys PRocTeR & gamBle gRoundBReaking 84 UtAH GoveRnoR’S oFFICe oF eConomIC DeveloPment
    • Fueling Tech gRowTh Utah State University, based in Logan, Cache County, is a powerhouse for economic devel- opment in the region. Ned Weinshenker, USU vice president, reports that during 2009 USU’s Technology Commercialization Office (TCO) received 80 idea disclosures from students and professors about potential inventions, filed 44 patents, had 11 patents issued, and created five spin-out companies using USU technology. That was the largest number ever generated by TCO in a single year. “This growth is plac- ing USU into an important position among key players in university-based technology com- nucoR sTeel mercialization,” Weinshenker says. USU’s tech transfer growth is fueled by the State of Utah’s Utah Science Technol- ogy and Research (USTAR) initiative, which in March 2009, allocated $800,000 to TCO As for the state’s workforce and culture, to award to inventors and researchers in the Donthnier says, “Utah workers are highly edu- final stages of moving their ideas to market. cated, their work ethic is high, their integrity Sixteen submissions were received in the first is high, and the culture in Northern Utah pro- round, in September 2009, with additional motes and supports those values. If anything, rounds in December 2009, March 2010 and many Utah workers are underemployed. They June 2010. The grants awarded range from an want to stay in Utah for the lifestyle, even if “efficacy study” of new antibiotics, to flying, that means not taking the best-paying job else- unmanned, networked sensors used to trans- where. Having that pool of committed, talented mit environmental information, to an equine workers, eager for better jobs, is very attractive distress monitor used to detect the onset of to employers siting plants in Utah.” Procter serious health conditions in horses. Any or all & Gamble’s goal, Donthnier says, is to hire 80 of those grants may result in profitable North- percent local. ern Utah businesses. Other national and global companies which have successfully moved into the Bear River Region include ATK, Nucor Steel and AutoLiv. ATK develops components for space and de- aTk fense systems, Nucor Steel is a steel fabricator, and AutoLiv, a Swedish company, is one of the largest global producers of airbags for cars. “The reason Procter & Gamble chose Northern Utah is three-fold. First, geographic location. It’s a great distribution point for areas west of the Rockies. Second, the incredible cooperation from state and local leaders. And third, the workforce and culture.” maTThew donThnieR oF PRoCteR & GAmBle WWW.BUSIneSS.UtAH.Gov 85
    • USU is also the home of the Space Dynam- ics Lab, which produces $50 million in busi- ness per year, according to Eric Warren of the Space Dynamics Lab. “We’re known through- “We have a strong, secure agriculture basis, a successful out the world as a leader in optics and infrared research park, hospitals, and businesses spun off from space observation tools,” says Warren. The lab hires 450 engineers and students all of them. We have a highly educated workforce with who build space instruments, develop sen- a high code of ethics. And we have a beautiful place to live sors for unmanned military vehicles, and have even participated in the launch of a satellite. with people who care about each other.” Parts for the satellite were developed at the lab, sandy emile, eConomIC DeveloPment ADvISoR FoR CACHe CoUnty shipped to Denver, integrated into a payload, and eventually launched from a site in Califor- nia. “The Space Dynamics Lab was started one year after NASA was created,” Warren says, and was the dream of Doran Baker, a USU pro- fessor. The lab now receives multiple grants from NASA and other developers of space technology and is on the forefront of optics and space research. sTaying connecTed The Bear River Region’s economic develop- ment is further supported by a strong telecom- munications network. One major telecommu- nication services provider to the area is Qwest Communication. “Businesses seeking to locate in Northern Utah have the ability to purchase redundant communications services from providers serving in the area,” says Jerry Fenn, president of Qwest Communications for Utah. “We are committed to increasing the services to the Cache Valley, and other parts of the Bear River Region.” “We’re very networked as a community,” adds Emile, as she describes BREDA, the Bear River Economic Development Association, made up of local government officials, chamber of commerce directors, and economic develop- ment advisors. “We meet together on a month- ly basis to discuss what businesses are coming into the area, what businesses are struggling and which of us has the resources to help.” Emile sums up the strong business resourc- es and great lifestyle of the Bear River Region. “We have a strong, secure agriculture basis, a successful research park, hospitals, and busi- nesses spun off from all of them. We have a highly educated workforce with a high code of ethics. And we have a beautiful place to live with people who care about each other. Bu 86 UtAH GoveRnoR’S oFFICe oF eConomIC DeveloPment
    • Utah: We’ve scoured all 84,904 square miles so you don‘t have to. EDCUTAH has gathered detailed information on virtually every spot in Utah. We are your single source for comprehensive demographic, economic and industrial reports to help you determine Utah is the place to relocate or expand your business. We also provide public and private contacts and guidance throughout the entire process of placing your business in Utah. And, we do it all for free. Call us, we’ll help. For information on expanding or relocating to Utah, please call us toll free at 1-800-574-UTAH (8824) or drop by www.edcutah.org WWW.BUSIneSS.UtAH.Gov 87
    • poor economy. They hire a lot of people and provide a good wage.” The area also boasts unique recreational activities that bring in tourism dollars. “Fish Lake attracts thousands of people during the summer and provides ice fishing during the winter,” Nash says. “Sevier County is also opening the second phase of a bike path that cenTRal will eventually run the width of Sevier County.” The main tourist attraction is the 200+ mile From the Piute ATV Trail System. PiuTe counTy Neighboring Sevier County to the south, Piute County depends on tourism, the Piute School ground up District (employing 50) and agriculture to sup- port its residents. Tourists seek out Piute Lake State Park for some of the best fishing in Utah. Marys- vale is an access point to the Paiute ATV Trail which also runs through Circleville where out- By Heather L. King law Butch Cassidy grew up at Parker Ranch. Kingston Canyon is popular for camping, hik- Fast FaCts ing and fishing. Otter Creek State Park offers Counties: If mixing business with pleasure is part of your company’s man- good boating, water-skiing and fishing oppor- Juab, millard, Piute, tra, Central Utah may be the perfect landing spot. The region’s tunities. Sanpete, Sevier, Wayne six counties, Juab, Millard, Piute, Sanpete, Sevier and Wayne Big Rock Candy Mountain Resort and counties, offer a one-of-a-kind environment that means work Hoovers River Resort also employ residents in Major Cities: hard, play hard. And despite today’s stormy economy, the re- the area and offer services for all types of recre- Richfield (7,217) ation enthusiasts year-round. Visitors can find gion is weathering the downturn due to its economically sus- nephi (5,408) lodging options, tour guides and rent sport- tainable products and industries, and with help from the State Delta (3,172) ing equipment for ATV riding, snowmobiling, ephraim (5,284) of Utah’s Rural Fast Track program and Economic Development Tax Increment Financing (EDTIF) tax credits. mountain biking and water sports adventures. loa (516) Circleville (485) sevieR counTy wayne counTy Per CaPita inCoMe Sevier County’s economy is tied to its robust One of Wayne County’s largest employers and $22,374 (Juab) land. More than 50,000 acres of cropland sup- most critical service facilities is Wayne Com- $26,397 (millard) port livestock and turkey processing, while munity Health Center in Bicknell. The center $25,341 (Piute) gas, oil and mining are also critical to the area’s not only retains 38 full- and part-time em- $19,329 (Sanpete) success. ployees, but also provides needed medical ser- $23,081 (Sevier) vices from a medical doctor, two dentists, one Wolverine Gas and Oil is one local com- $23,610 (Wayne) pharmacist, three pharmacy technicians, eight pany boosting the area’s economy, according to Malcolm Nash, economic development di- medical assistants, a case manager, a nurse Major eMPloyers: rector for Sevier County. “Wolverine Gas and practitioner and a physician’s assistant. Juab School District teton Industrial Oil is the most recent company that has sig- Construction nificantly affected the local economy,” he says. Intermountain Power “The company’s continued exploration and Service production of oil generates the demand for millard County production services and transportation.” Dalton Brothers trucking Sevier County’s accessibility to Interstate Piute County School District 70 adds to the community’s viability. Local Snow College businesses, such as Redmond Minerals, Dia- moroni Feed mond K Gypsum and Sufco Coal Mine, benefit Sevier County from easy exportation, including FedEx loca- School District Canyon Fuels Company tions in Salina and Richfield to use for moving Aspen Ranch packages between Los Angeles and Denver. Federal Government All of these businesses, Nash says, plus Jor- gensen Honda and Ford, “have good models that are able to sustain themselves even in a BaRnes aeRosPace exhausT nozzle 88 UtAH GoveRnoR’S oFFICe oF eConomIC DeveloPment
    • “This project is a great example of the kind of development that helps create jobs and helps stimulate the economy.” Paul gaynoR, Ceo oF FIRSt WInD “Surrounding residents from Garfield and insurance for employees—something that is LiquaDry, Inc. offers employment to 37 Piute counties come here for their health needs, greatly needed in rural Utah.” Millard County residents as well as generous so this wonderful commodity provides well for Outdoor enthusiasts visiting Sanpete benefits. “We have made a long-term commit- Wayne,” Michelle Coleman, director of Wayne County can enjoy snowmobiling; sport climb- ment to our employees,” Deeanna Petersen of County Economic Development, explains. ing in Maple Canyon; ATV riding on the Arap- LiquaDry cites. LiquaDry supports local agri- Other businesses making an economic im- een OHV Trail System; golfing, fishing and culture by purchasing extra crops from area pact include Brian Farm Service Center in Loa, geo-caching at Palisade State Park; boating and farmers. “Millard County is known for pro- Bull Mountain Market in Hanksville and Cas- camping on the Painted Rock side of Yuba State ducing high-quality hay and we have taken ad- tle Rock Coffee & Candy in Torrey. The new Park and snowkiting in Fairview Canyon where vantage of that quality in producing our cereal pellet-making operation of Thousand Lake the annual US Open Snowkite Master is held. grass powders. The climate, soil advantages Lumber in Lyman is particularly important to and proximity of farms to our production facil- the future of the community as well. Addition- millaRd counTy ity all play a major part in our unique process- ally, Wayne County’s Capitol Reef National Perhaps the most economically notable county ing technology.” Park supports numerous seasonal tourist and in Central Utah this year, Millard County re- recreational businesses. cently opened the state’s largest wind-energy JuaB counTy Coleman is pleased to say that GOED is generation facility. Located in Millard and According to Byron Woodland, Juab County very important to Wayne County and one local Beaver counties, the first phase of the Milford and Nephi City economic development direc- business has already received the Rural Fast Wind Corridor project generated nearly $86 tor, Barnes Bullets and FiberTEK are two com- Track incentive with two more currently in million in direct and indirect spending in Utah, panies that are having significant economic process. including 250 development and construction impact in Juab County. “In a time of high un- jobs. Paul Gaynor, CEO of the project’s par- employment for the county, they are providing sanPeTe counTy ent company, First Wind, says, “This project much-needed dependable jobs.” Kevin Christensen, director of Sanpete County is a great example of the kind of development Both companies took advantage of GOED’s Economic Development and Travel, explains that helps create jobs and helps stimulate the economic development programs. FiberTEK that businesses started in Sanpete County such economy.” The project is expanding north into received a combined EDTIF/IAF incentive as Freedom Innovations, CO Building Systems Millard County and will eventually include 159 package for its new manufacturing facil- and Moroni Feed, “tend to have a greater im- turbines. ity and relocated from Florida to Nephi. The pact on the area because they never leave.” Linda Clark Gillmor, Millard County eco- company was awarded $1.25 million in IAF for Hometown businesses Christensen Arms nomic development director, says that Mag- the creation of 99 new jobs and $2.75 million and ACT Aerospace as well as Timberhawk num Gas Storage will also begin construction over 10 years through EDTIF. “Barnes Bullets Homes have all received Rural Fast Track of a natural gas storage project in Millard is a homegrown Utah company,” Woodland grants to further build and maintain a high- County in May 2010 that will provide the nec- says, adding that the company was awarded paid workforce. MediConnect Global recently essary infrastructure for the expansion of re- $200,000 over 10 years in EDTIF incentives received a $1.75 million EDTIF incentive (in newable resource development. for the relocation and expansion of its opera- the form of tax credits over 10 years) to expand Additionally, two local companies, Li- tions to Mona with an estimated 42 new jobs operations in the area. “We are delighted to fur- quaDry and Utah Dairy Farms, are both using and 53 retained jobs. ther develop our operations in Ephraim,” says innovation to keep business brisk. “Utah Dairy Recreational opportunities available in MediConnect CEO Amy Rees Anderson. “We Farms has recently put their own brand of egg Juab County include ATV riding at Little Sa- appreciate the motivated workforce available nog and chocolate milk on the shelves at all hara Sand Dunes, boating at Yuba Lake and the in Sanpete County.” In addition to the 300 new Smith’s stores and selected Associated Stores,” Ute Stampede Rodeo. Bu full-time jobs and revenue created by Medi- says Gillmor. “In a challenging economic time Connect’s expansion, Christensen explains, for most businesses in agriculture, Utah Dairy “MediConnect will provide medical and dental Farms is showing creativity and initiative in marketing of a local food product.” WWW.BUSIneSS.UtAH.Gov 89
    • uinTah Basin more than from five to 28. “They were able to retain and create jobs by expanding their business, ulti- mately keeping business in Utah,” says Irene Hansen, executive director of the Duchesne County Chamber of Commerce. meets the eye Now the largest service center between Salt Lake City and Denver, L&L Motors’ new build- ing is technologically advanced with the ca- pability of keeping money in the state of Utah where it belongs. “We’re thrilled they took a risk and decided to invest in our community,” By Heidi Kulicke says Hansen. “It’s a fantastic investment in Roosevelt that will bring prosperity and jobs Fast FaCts for 50 years to come.” Counties: In spite of the oil and natural gas industry’s Daggett, Duchesne, Uintah prominence in the basin, it still was not im- mune from the economic turmoil the nation Major Cities: Your daily routine of dodging traffic, avoiding smog and block- experienced in 2009. While some oil compa- vernal (8,696) ing out the constant sound of sirens is about to end. You’re tired nies were laying people off and putting an end Duchesne (1,612) to drilling, one company decided to weather of the pollution and garbage on the streets. Your patience for Roosevelt (5,025) the storm and is now able to expand. creeping along the interstate at five miles per hour has come to a manila (324) New Field Exploration Company changed halt. You need to reclaim your sanity any way you can—it’s time for a vacation. You point to a place on the map. Somewhere in its business model in order to adapt to the Per CaPita inCoMe Eastern Utah, somewhere you’ve never been before. Why not, current economic situation and remained ef- $19,941 (Daggett) $32,996 (Duchesne) you think. And before you know it, you’ve made your way to the ficient in 2009. “They must feel that Utah is a $29,534 (Uintah) Uintah Basin. After experiencing Dinosaurland, Flaming Gorge good place to do business,” says Hansen, which and the Uinta Mountains and cliffs, you’re hooked. The friendly would explain New Field’s proposal to drill Major eMPloyers: locals and simplicity of the country has an attractive lure, and 5,750 additional gas wells more than a 25-year Duchesne County School with abundant natural resources, you’re convinced the Uintah period in the basin. District Basin is the perfect place to expand your business. You’ve made Hansen says she has found that by living Uintah Basin in a smaller community, everyone must work the right decision, and you won’t be disappointed. medical Center together to create their own positive atmo- Halliburton energy Services sphere. “We want to live here and watch our oPTimisTic aTmosPheRe Colletts Recreation Services Everywhere you look there are plentiful op- community grow and thrive. We’ve learned Cash meat market portunities for business in Duchesne, Daggett, that the future is up to us, and we’re very opti- Anadarko Petroleum Corp. Ashley valley and Uintah counties. And with help from the mistic,” she adds. medical Center Governor’s Office of Economic Development Jacob Fields Service n.A. (GOED), the availability of tax credits is espe- national Forest Service cially enticing. Take L&L Motors for instance, located in Duchesne County in Roosevelt, Utah. Oil rig company fleet vehicles were being serviced out of state due to long wait times and a lack of resources. To solve this problem, L&L Motors was given an incentive through the state’s Ru- ral Fast Track Program to expand its business in Utah. As a result, the shop underwent a $5 million expansion, increasing its service bays Flaming goRge 90 UtAH GoveRnoR’S oFFICe oF eConomIC DeveloPment
    • uTah sTaTe uniTah Basin camPus “We are basically the largest shopping hub between Salt Lake City and Denver. The sales tax is absolutely crucial to the success of our community and we are proud to be able to serve the area.”riety of stores.” Tammie luceRo, exeCUtIve DIReCtoR oF veRnAl eConomIC DeveloPment discoveRing dinosauRland Outsiders may think of Vernal as merely a quaint small town full of ancient dinosaur fossils, but the locals know the best kept se- cret is it’s actually the finest place around to do business. Ashley Regional Medical Center recently underwent a $22 million expansion which included additional services and office space for physicians. This allowed for expanded ser- vices, such as urology, that were not present in the past. It is anticipated that more physicians will come to Vernal now that offices have been serving as the retail hub within 100 miles. In desTinaTion oF delighTs built for them. “A $22 million investment in fact, people travel here to shop from Western Behunin says Eastern Utah as a whole is one of our community is no small thing and the im- Colorado, South-western Wyoming and all the state’s best-kept secrets for business and pacts are unexplainable,” says Tammie Lucero, over Eastern Utah. “We are basically the larg- entrepreneurs. “We have home grown scientists executive director of Vernal Economic Devel- est shopping hub between Salt Lake City and who have put satellites into space. Oil, gas and opment. Denver. The sales tax is absolutely crucial coal extraction fuels the state’s economy with Like Duchesne County, Uintah County is to the success of our community and we are some of the most inexpensive energy because heavily involved with the oil and natural gas proud to be able to serve the area with a variety it’s local,” he adds. “When it comes to having the industry. Anadarko Petroleum Corp. recently of stores,” says Lucero. most world class energy assets in one spot, Utah opened the Chipeta Natural Gas processing Another big city perk residents of the basin is viewed as the bull’s-eye.” plant, which is filled near capacity. The com- enjoy is higher education through Utah State To top it off, the area’s vast array of outdoor pany also has plans for expansion, expecting University right in their own backyard. “We’ve activities will have you thinking again when re- to drill approximately 200 wells in the Uintah had $150 million coming into the Uintah Basin ferring to small towns as “boring.” On the week- Basin area this year alone. Within five years, over the past four years, creating a full-blown ends, enjoy fishing and boating at Flaming Gorge Anadarko’s expectations include drilling 1,800 regional campus,” says Rob Behunin, special or explore hiking throughout the stunning natu- to 2,200 wells along with ramping up their assistant to the president of USU. The campus ral landscape. “We take pride in our rich, colorful number of operated rigs to 15. offers 18 different bachelor’s degrees and 11 history and our bright, promising future,” says And with new stores cropping up left and master’s degrees. Companies, such as Simplot, Lucero. “We are truly a diamond in Utah’s back- right including several clothing, grocery and have even won national awards for sustainabil- yard,” adds Behunin. Bu specialty shops, there’s no need to drive all the ity and environmental responsibility, creating way to Salt Lake City. Vernal contains both research opportunities for graduate students big city accessibility and small town charm, in the environmental and energy fields. “We want to live here and watch our community grow and thrive. We’ve learned that the future is up to us, and we’re very optimistic.” iRene hansen, exeCUtIve DIReCtoR oF tHe DUCHeSne CoUnty CHAmBeR oF CommeRCe WWW.BUSIneSS.UtAH.Gov 91
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    • uTAh’s BusiNess leAders Accounting Firms by number of accountants Law Firms by number of attorneys COMPANY Full-TiMe CPAs COMPANY ATTOrNeYs 1 Ernst & Young LLP 121 1 Parsons Behle & Latimer 121 2 PricewaterhouseCoopers LLP 69 2 Kirton & McConkie 107 3 Deloitte & Touche 66 3 Ray Quinney & Nebeker PC 89 4 KPMG LLP 48 4 Jones Waldo Holbrook & McDonough PC 84 5 Grant Thornton LLP 45 5 Stoel Rives LLP 72 6 Tanner LC 43 6 Workman Nydegger 71 7 Hansen, Barnett & Maxwell 38 7 Parr Brown Gee & Loveless 64 8 Wisan, Smith, Racker & Prescott LLP 34 8 Durham Jones & Pinegar 63 9 Squire 33 9 Van Cott, Bagley, Cornwall & McCarthy PC 57 10 HintonBurdick CPAs & Advisors 32 10 Snow, Christensen & Martineau 55 11 CBIZ-MHM 30 11 Callister, Nebeker & McCullough 53 12 Hawkins, Cloward & Simister 27 12 Snell & Wilmer 50 13 Schmitt, Griffiths, Smith & Co 27 13 Strong & Hanni PC 49 14 Jones Simkins PC 20 14 Holland & Hart LLP 48 15 Mantyla McReynolds 18 15 Fabian & Clendenin 48 16 Cook Martin Poulson P .C. 17 16 Ballard Spahr LLP 41 17 Haynie & Company 15 17 Richards Brandt Miller Nelson 41 18 Karren, Hendrix, Stagg, Allen & Company 14 18 Holme Roberts & Owen LLP 39 19 Jensen Keddington 13 19 Bennet Tueller Johnson & Deere 32 20 Pinnock, Robbins, Posey & Richins PC 13 20 Prince, Yeates & Geldzahler 31 21 Larson & Rosenberger LLP 12 21 Clyde Snow & Sessions 29 22 Child, Van Wagoner & Bradshaw, PLLC 11 22 Christensen & Jensen 26 23 Gilbert & Stewart 10 23 Trask Britt PC 26 24 Wiggins & Company 9 24 Dorsey & Whitney LLP 22 25 Huber, Erickson & Bowman LLC 9 25 Cohne, Rappaport & Segal 18 Banks by total Utah deposits Commercial Builders by total revenue 2008 dePOsiTs 2008 reVeNue COMPANY (thoUsanDs) COMPANY (millions) 1 Wells Fargo Bank NW, N.A. $19,202,381 1 The Layton Companies 922.2 2 Zions First National Bank $12,653,315 2 Okland Construction 744.5 3 JPMorgan Chase Bank $7,835,412 3 Big-D Construction Corp. 688 4 KeyBank $2,274,907 4 Jacobsen Construction Company, Inc. 390 5 US Bank $991,238 5 R & O Construction 288.8 6 Bank of American Fork $710,287 6 Wadman Corporation 202 7 Bank of Utah $580,885 7 Hogan & Associates Construction 195 8 State Bank of Southern Utah $556,982 8 Camco Construction, Inc. 130 9 Central Bank $484,811 9 Ralph L. Wadsworth Construction Company, Inc. 126.1 10 Far West Bank (A Division of AmericanWest Bank) $349,853 10 Hughes General Contractors, Inc. 111 11 First Utah Bank $287,708 11 Rimrock Construction, LLC 81.3 12 First National Bank of Layton $225,221 12 Le Grand Johnson Construction Co. 73 13 Grand Valley Bank $221,878 13 Ascent Construction Inc. 69.8 14 Cache Valley Bank $216,788 14 Bodell Construction 59.5 15 The Village Bank $212,019 15 Pentalon Construction, Inc. 55.2 16 Centennial Bank $205,076 16 Associated Brigham Contractors Inc. 47.4 17 Lewiston State Bank $198,044 17 Stacey Enterprises Inc. 35 18 SunFirst Bank $195,589 18 Watts Construction 34.3 19 Celtic Bank $178,909 19 Furst Construction 34 20 Home Savings Bank $122,310 20 Arnell West, Inc. 25.6 21 Brighton Bank $119,295 21 Sirq, Inc. 23 22 Prime Alliance Bank $115,578 22 Menlove Construction 18 23 Capital Community Bank $100,901 23 Zwick Construction Company 18 24 Western Community Bank $98,185 24 ABCO Construction 16 25 Bank of the West $90,215 25 Stallings Construction 15.2 * Total assets are national figures. Rankings based on 2008 data. DND=Did Not Disclose. For a more extensive list of companies in this category and others see www.utahbusiness.com. Download the Book of Lists at www.utahbusiness.com. Source: Utah Business magazine’s Book of Lists, 2009. Copyright 2010 by Utah Business Publishers. 94 Utah Governor’s office of economic Development
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    • uTAh’s BusiNess leAders uTAh’s BusiNess leAders Top 40 Public Companies by 2008 sales revenue COMPANY TiCKer sYMBOl reVeNue (000’s) COMPANY TiCKer sYMBOl reVeNue (000’s) 1 Huntsman Corp. HUN $10,215,000 21 Evans & Sutherland Computer Corp. ESCC $37,659 2 Zions Bancorp ZION $3,529,679 22 Dynatronics Corp. DYNT $32,593 3 SkyWest Inc. SKYW $3,496,249 23 Utah Medical Products UTMD $27,782 4 Questar STR $3,465,100 24 ForeverGreen Worldwide Corporation FVRG $21,750 5 Nu Skin Enterprises NUS $1,247,646 25 Alpine Air Express APNX $19,840 6 Headwaters Inc. HW $886,404 26 ZAGG Incorporated ZAGG $19,792 7 Overstock.com OSTK $834,367 27 FX Energy Inc. FXEN $17,841 8 USANA Health Sciences USNA $429,012 28 SCO Group Inc. SCOX $15,568 9 Myriad Genetics MYGN $333,629 29 Pacific Webworks Inc. PWEB $13,676 10 Omniture Inc. OMTR $295,613 30 Cirtran CIRC $9,221 11 Extra Space Storage EXR $273,251 31 BSD Medical Corp. BSDM $5,143 12 Franklin Covey FC $260,092 32 Cimetrix Inc. CMXX $4,143 13 Merit Medical Systems MMSI $227,143 33 Broadcast International Inc. BCST $3,402 14 Security National Financial Corporation SNFCA $219,504 34 Park City Group Inc. PCYG $3,345 15 Schiff Nutrition Int’l WNI $176,914 35 Bullion Monarch Mining Inc. BULM $2,662 16 Nutraceutical Int’l NUTR $166,885 36 Fonix Corp. FNXC $1,265 17 iMergent Inc. IIG $128,048 37 Paradigm Medical Industries PDMI $1,259 18 Sonic Innovations Inc. OTIX $124,878 38 RecycleNet Corporation MYDO $595 19 inContact, Inc. SAAS $79,625 39 Dental Patient Care AM DPAT $476 20 ClearOne Communications Inc. CLRO $39,752 40 Flexpoint Sensor Systems Inc. FLXT $162 Rankings based on 2008 data. DND=Did Not Disclose. For a more extensive list of companies in this category and others see www.utahbusiness.com. Download the Book of Lists at www.utahbusiness.com. Source: Utah Business magazine’s Book of Lists, 2009. Copyright 2010 by Utah Business Publishers. Utah’s Top Employers by number of employees COMPANY eMPlOYees COMPANY eMPlOYees 1 Intermountain Healthcare 20,000 + 21 Weber County School District 3,000 - 3,999 2 State of Utah 20,000 + 22 Delta Airlines 3,000 - 3,999 3 Brigham Young University 15,000 - 19,000 23 SkyWest Airlines 3,000 - 3,999 4 University of Utah 15,000 - 19,000 24 Autoliv ASP (Morton Int’l) 3,000 - 3,999 5 Wal-Mart Stores 15,000 - 19,000 25 Salt Lake School District 3,000 - 3,999 6 Hill Air Force Base 10,000 - 14,999 26 United Parcel Service 3,000 - 3,999 7 Granite School District 7,000 - 9,999 27 Nebo School District 3,000 - 3,999 8 Jordan School District 7,000 - 9,999 28 Home Depot 3,000 - 3,999 9 Utah State University 7,000 - 9,999 29 Salt Lake City Corporation 3,000 - 3,999 10 Davis County School District 5,000 - 6,999 30 Discover Products 3,000 - 3,999 11 Kroger Group Cooperative 5,000 - 6,999 31 Weber State University 2,000 - 2,999 12 Alpine School District 5,000 - 6,999 32 Teleperformance USA 2,000 - 2,999 13 U.S. Postal Service 5,000 - 6,999 33 Qwest Corporation 2,000 - 2,999 14 Internal Revenue Service 5,000 - 6,999 34 Washington School District 2,000 - 2,999 15 Convergys 5,000 - 6,999 35 Salt Lake Community College 2,000 - 2,999 16 Salt Lake County 5,000 - 6,999 36 Utah Valley State College 2,000 - 2,999 17 ATK Launch Systems 4,000 - 4,999 37 Target Corporation 2,000 - 2,999 18 Albertsons 4,000 - 4,999 38 Harmons 2,000 - 2,999 19 Zions First National Bank 3,000 - 3,999 39 PacifiCorp 2,000 - 2,999 20 Wells Fargo 3,000 - 3,999 40 Costco Wholesale 2,000 - 2,999 Source: Utah Department of Workforce Services 96 Utah Governor’s office of economic Development
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    • eCONOMiC deVelOPMeNT CONTACTs (by coUnty) Davis Millard Summit Davis County Millard County Summit County Economic Development Economic Development Association Economic Development 28 E. State Street, Room 221 71 S. 200 W. 1910 Prospector Ave. Suite 103 Farmington, UT 84025 Delta, UT 84624 Park City, UT 84060 Governor’s office of (801) 451-3278 (435) 864-1407 (435) 649-6100 economic Development www.daviscountyutah.gov www.millardcounty-ecdev.com www.parkcityinfo.com 324 S. State St., Suite 500 Salt Lake City, Utah 84111 Duchesne Morgan Tooele 801-538-8700; 801-538-8888 FAX Duchesne County Morgan County Tooele County www.business.utah.gov Economic Development Economic Development Economic Development 50 E. 200 S. 48 W. Young St. 47 S. Main Street economic Development Roosevelt, UT 84066 Morgan, UT 84050 Tooele, UT 84074 corporation of utah (435) 722-4598 (801) 845-4065 (435) 843-3160 201 S. Main Street #2010 www.duchesne.net www.morgan-county.net www.tooeleeconomicdevelopment. Salt Lake City, Utah 84111 com (801) 328-8824 Emery Piute edcu.utah.org Emery County Piute County Uintah Economic Development Economic Development Uintah County 95 E. Main Street #107 550 N. Main Street Economic Development Beaver Castle Dale, UT 84513 Junction, UT 84740 1680 W. Hwy. 40 Beaver County (435) 381-5576 (435) 577-2949 Vernal, UT 84078 Economic Development www.emerycounty.com www.piute.org (435) 722-1766 330 S. Main www.co.uintah.ut.us P Box 511 .O. Garfield Rich Beaver, UT 84713 Garfield County Rich County-Bear Lake Utah (435) 438-6482 Economic Development Regional Commission Utah County www.beavercountyutah.com 55 South Main Street 69 N. Paradise Pkwy Business Development Panguich, UT 84759 Garden City, Ut 84028 34 E. 1700 S. OSTC Bldg. Box Elder (435) 676-1157 (435) 946-2198 Provo, UT 84601 Box Elder County www.garfield.utah.gov www.richcountyut.org (801) 420-9109 Economic Development www.edcutah.org/uc 1 S. Main Street 3rd floor Grand Salt Lake Brigham City, UT 84302 Grand County Salt Lake County Wasatch (435) 734-3397 Economic Development Economic Development Wasatch County www.boxelder.org 125 E. Center Street 2001 S. State Street, Ste. S2100 Economic Development Moab, UT 84532 SLC, UT 84190 475 N. Main Street Cache (435) 259-5121 (801) 468-2221 Heber City, Utah 84032 Cache Valley www.grandcountyutah.net www.co.slc.ut.us (435) 654-3666 Chamber of Commerce www.hebervalleycc.org 160 N. Main Street Rm. 102 Iron San Juan Logan, UT 84321 Iron County San Juan County Washington (435) 752-2161 Economic Development Economic Development Washington County www.cachechamber.com 10 N. Main Street 117 S. Main Street Economic Development Council Cedar City, UT 84720 Monticello, UT 84535 225 S. 700 E. Carbon (435) 586-2770 (435) 587-3235 ext. 4138 St. George, Utah 84770 Carbon County Future www.cedarcity.org www.utahscanyoncountry.com (435) 652-7750 120 E. Main St. www.dixiebusinessalliance.com Price, UT 84501 Juab Sanpete (435) 636-3295 Juab County Sanpete County Economic Wayne www.carbon.utah.gov/econdev Economic Development Agency Development Association Wayne County 160 N. Main Street, Rm. 102 191 N. Main Street Economic Development Daggett Nephi, UT 84648 Manti, UT 84642 18 South Main Daggett County (435) 623-3415 (435) 835-4321 Loa, UT 84747 Economic Development www.co.juab.ut.us www.sanpete.com (435) 836-1315 95 N. 100 W. www.waynecountyutah.org Manila, UT 84046 Kane Sevier (435) 784-3218 Kane County Sevier County Weber www.daggettcounty.org Economic Development Economic Development Weber Chamber of Commerce 76 N Main 250 N. Main Street, Rm 10 2484 Washington Blvd., Ste. 400 Kanab, UT 84741 Richfield, UT 84701 Ogden, UT 84401 (435) 644 4900 (435) 893-0454 (801) 621-8300 ext.3013 www.kane.utah.gov www.sevierutah.net www.webergrowth.com/home.html 98 Utah Governor’s office of economic Development
    • How did she get there? Come to upgrade.slco.org to find out. www.bUsiness.Utah.Gov 99